European Parliament decision of 12 June 2013 approving the appointment of Neven Mimica as a Member of the Commission (2013/0806(NLE))

The European Parliament,

–  having regard to the Act of accession of Croatia, and in particular Article 21(1) thereof,

–  having regard to the proposal submitted by the Croatian Government on 25 April 2013, with a view to the appointment of Neven Mimica as a Member of the Commission,

–  having regard to the Council's letter of 2 May 2013, whereby the Council consulted Parliament on a decision, to be taken by common accord with the President of the Commission, on the appointment of Neven Mimica as a Member of the Commission,

–  having regard to the hearing of Neven Mimica on 4 June 2013, led by the Committee on the Internal Market and Consumer Protection with the association of the Committee on the Environment, Public Health and Food Safety, and to the statement of evaluation drawn up following that hearing;

–  having regard to Rule 106 of, and Annex XVII to, its Rules of Procedure,

1.  Approves the appointment of Neven Mimica as a Member of the Commission for the remainder of the Commission’s term of office until 31 October 2014;

2.  Instructs its President to forward this decision to the Council, the Commission and the governments and parliaments of the Member States and the Republic of Croatia.

European Parliament decision of 12 June 2013 on the numerical strength of the standing committees (2013/2671(RSO))

P7_TA(2013)0250 B7-0268/2013

The European Parliament,

–  having regard to the proposal by the Conference of Presidents,

–  having regard to its decisions of 15 July 2009(1), 14 December 2011(2) and 18 January 2012(3) on the numerical strength of the standing committees,

–  having regard to Rule 183 of its Rules of Procedure,

1.  Decides to amend the numerical strength of the standing committees as follows:

2.  Decides that this decision will enter into force on 1 July 2013;

3.  Instructs its President to forward this decision to the Council and the Commission, for information.

(1) OJ C 224 E, 19.8.2010, p. 34. (2) Texts adopted, P7_TA(2011)0570. (3) Texts adopted, P7_TA(2012)0001.

European Parliament decision of 12 June 2013 on the nomination of Neven Mates as a Member of the Court of Auditors (C7-0106/2013 – 2013/0804(NLE))

P7_TA(2013)0251 A7-0182/2013

(Consultation)

The European Parliament,

–  having regard to Article 286(2) of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C7-0106/2013),

–  having regard to Rule 108 of its Rules of Procedure,

–  having regard to the report of the Committee on Budgetary Control (A7-0182/2013),

A.  whereas Parliament’s Committee on Budgetary Control proceeded to evaluate the credentials of the nominee, in particular in view of the requirements laid down in Article 286(1) of the Treaty on the Functioning of the European Union;

B.  whereas at its meeting of 27 May 2013, the Committee on Budgetary Control heard the Council’s nominee for membership of the Court of Auditors;

1.  Delivers a negative opinion on the Council’s nomination of Neven Mates as a Member of the Court of Auditors;

2.  Instructs its President to forward this decision to the Council and, for information, the Court of Auditors, the other institutions of the European Union and the audit institutions of the Member States.

European Parliament decision of 12 June 2013 on the nomination of George Pufan as a Member of the Court of Auditors (C7-0115/2013 – 2013/0805(NLE))

P7_TA(2013)0252 A7-0181/2013

(Consultation)

The European Parliament,

–  having regard to Article 286(2) of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C7-0115/2013),

–  having regard to Rule 108 of its Rules of Procedure,

–  having regard to the report of the Committee on Budgetary Control (A7-0181/2013),

A.  whereas Parliament’s Committee on Budgetary Control proceeded to evaluate the credentials of the nominee, in particular in view of the requirements laid down in Article 286(1) of the Treaty on the Functioning of the European Union;

B.  whereas at its meeting of 27 May 2013, the Committee on Budgetary Control heard the Council’s nominee for membership of the Court of Auditors;

1.  Delivers a favourable opinion on the Council’s nomination of George Pufan as a Member of the Court of Auditors;

2.  Instructs its President to forward this decision to the Council and, for information, the Court of Auditors, the other institutions of the European Union and the audit institutions of the Member States.

European Parliament legislative resolution of 12 June 2013 on the proposal for a regulation of the European Parliament and of the Council amending Council Regulation (EC) No 1005/2008 establishing a Community system to prevent, deter and eliminate illegal, unreported and unregulated fishing (COM(2012)0332 – C7-0158/2012 – 2012/0162(COD))

P7_TA(2013)0253 A7-0144/2013

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2012)0332),

–  having regard to Article 294(2) and Article 43(2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7‑0158/2012),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the opinion of the European Economic and Social Committee of 18 September 2012(1),

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Fisheries (A7-0144/2013),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 12 June 2013 with a view to the adoption of Regulation (EU) No .../2013 of the European Parliament and of the Council amending Council Regulation (EC) No 1005/2008 establishing a Community system to prevent, deter and eliminate illegal, unreported and unregulated fishing

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 43(2) thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee of 18 September 2012(2),

Acting in accordance with the ordinary legislative procedure(3),

Whereas:

(1)  Council Regulation (EC) No 1005/2008 of 29 September 2008 establishing a Community system to prevent, deter and eliminate illegal, unreported and unregulated fishing(4) confers powers upon the Commission in order to implement some of the provisions of that Regulation and reserves certain implementing powers to the Council.

(2)  As a consequence of the entry into force of the Lisbon Treaty, certain powers conferred under Regulation (EC) No 1005/2008 need to be aligned with Articles 290 and 291 of the Treaty on the Functioning of the European Union.

(3)  In order to apply some of the provisions of Regulation (EC) No 1005/2008, the power to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the European Union should be delegated to the Commission in respect of the following:

(4)  It is of particular importance that the Commission carry out appropriate consultations during its preparatory work for the adoption of delegated acts, including at expert level, so that it has objective, rigorous, complete and up-to-date information. The Commission, when preparing and drawing-up delegated acts, should ensure a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and to the Council. [Am. 1]

(5)  In order to ensure uniform conditions for the implementation of Regulation (EC) No 1005/2008 implementing powers should be conferred upon the Commission in accordance with Article 291 of the Treaty on the Functioning of the European Union in respect of the following:

Where the control of Member States is required, those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by Member States of the Commission's exercise of implementing powers(5).

(6)  As a consequence of the entry into force of the Lisbon Treaty, Article 52 needs to be deleted. This Article was already used for the establishment of the legal framework for the simplified catch certificate and for the establishment of administrative arrangements with third countries under Article 12(4) and 20(4). It is still needed to provide the necessary powers to the Commission to adopt delegated acts for the adaptation of the catch certification scheme for some fishery products obtained by small fishing vessels, including the possibility of using a simplified catch certificate and implementing powers for the adoption by the Commission, in agreement with flag States, of catch certificates that are established, validated and submitted by electronic means or replaced by electronic traceability systems ensuring the same level of control by authorities.

(7)  As a consequence of the entry into force of the Lisbon Treaty, the provision on temporary measures which provides for the referral of certain Commission measures to the Council under certain conditions needs to be adapted.

(8)  The provisions of Regulation (EC) No 1005/2008 concerning the establishment of a list of non-cooperating third countries and the removal of third countries from that list confer decision-making powers upon Council. As a consequence of the entry into force of the Lisbon Treaty those provisions need to be brought into line with the new procedures applicable to the common fisheries policy.

(9)  Regulation (EC) No 1005/2008 should therefore be amended accordingly,

HAVE ADOPTED THIS REGULATION:

Article 1

Regulation (EC) No 1005/2008 is amended as follows:

(1)  Article 6 is amended as follows:

(a)  the following paragraph is added:"

"1a. The Commission may establish the form for prior notification referred to in paragraph 1 above by means of implementing acts in accordance with the examination procedure referred to in Article 54(2).";

(b)  paragraph 3 is replaced by the following:"

"3. The Commission shall be empowered, in accordance with Article 54a, to adopt delegated acts exempting certain categories of third country fishing vessels from the obligation stipulated in paragraph 1 for a limited and renewable period, or making provision for another notification period taking into account, inter alia, the type of fishery product, the distance between the fishing grounds, landing places and ports where the vessels in question are registered or listed.";

(2)  in Article 8, paragraph 3 is replaced by the following:"

"3. Landing and transhipment declaration procedures and forms shall be determined by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(3)  in Article 9, paragraph 1 is replaced by the following:"

"1. Member States shall carry out inspections in their designated ports of at least 5 % of landing and transhipment operations by third country fishing vessels each year, in accordance with the benchmarks determined on the basis of risk management, without prejudice to the higher thresholds adopted by regional fisheries management organisations. The Commission shall be empowered, in accordance with Article 54a, to adopt delegated acts determining those benchmarks.";

(4)  Article 12 is amended as follows:

(a)  the following paragraph is added:"

"4a. The Commission shall, by means of implementing acts, adopt the catch certificates established in the framework of the cooperation set out in Article 20(4). Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(b)  paragraph 5 is replaced by the following:"

(c)  the following paragraph is added:"

"6. The Commission shall be empowered, in accordance with Article 54a, to adopt delegated acts adapting the catch certification scheme to fishery products obtained by small fishing vessels including, if necessary, a specimen for simplified catch certificate.";

(5)  in Article 13, paragraph 1 is replaced by the following:"

"1. Catch documents, and any related documents, validated in conformity with catch documentation schemes adopted by a regional fisheries management organisation which are recognised as complying with the requirements laid down in this Regulation, shall be accepted as catch certificates in respect of the fishery products from species to which such catch documentation schemes apply and shall be subject to the check and verification requirements incumbent upon the Member State of importation in accordance with Articles 16 and 17 and to the provisions on refusal of importation laid down in Article 18. The list of such catch documentation schemes shall be determined by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(6)  Article 16 is amended as follows:

(a)  paragraph 1 is replaced by the following:"

"1. The validated catch certificate shall be submitted by the importer to the competent authorities of the Member State in which the product is intended to be imported within a deadline initially set at least three working days before the estimated time of arrival at the place of entry into the territory of the Union. Such deadline of three working days may be adapted, by means of delegated acts adopted in accordance with Article 54a, according to the type of fishery product, the distance to the place of entry into the territory of the Union or the transport means used. Those competent authorities shall, on the basis of risk management, check the catch certificate in the light of the information provided in the notification received from the flag State in accordance with Articles 20 and 22.";

(b)  paragraph 3 is replaced by the following:"

Member States shall communicate to the Commission the name and address of the approved economic operators as soon as possible after having granted this status. The Commission shall make available this information to the Member States by electronic means.”;

(c)  the following paragraphs are added:"

5.  The Commission shall adopt implementing acts in accordance with the examination procedure referred to in Article 54(2) concerning:

(7)  in Article 17, paragraph 3 is replaced by the following:"

"3. Verifications shall be focused towards risk identified on the basis of criteria developed at national or Union level under risk management. Member States shall notify to the Commission their national criteria within 30 working days after 29 October 2008 and update this information. The Commission shall be empowered, in accordance with Article 54a, to adopt delegated acts determining the Union criteria to allow timely risk analyses and global assessment of relevant control information.";

(8)  in Article 27, paragraph 1 is replaced by the following:"

"1. The Commission shall establish a Union IUU vessel list by means of implementing acts adopted in accordance with the examination procedure referred to in Article 54(2). The list shall include the fishing vessels in relation to which, further to the measures taken pursuant to Articles 25 and 26 and on the basis of the criteria contained in the same provisions, the information obtained in accordance with this Regulation establishes that they are engaged in IUU fishing as referred to in Article 3 and whose flag States have not complied with the official requests referred to in Article 26(2)(b) and (c) and Article 26(3)(b) and (c), in response to such IUU fishing.";

(9)  in Article 28, paragraph 1 is replaced by the following:"

(10)  in Article 30, paragraph 1 is replaced by the following:"

"1. In addition to the fishing vessels referred to in Article 27, fishing vessels included in the IUU vessel lists adopted by regional fisheries management organisations shall be included in the Union IUU vessel list by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2). Removal of such vessels from the Union IUU vessel list shall be governed by the decisions taken with regard to them by the relevant regional fisheries management organisation.";

(11)  in Article 31, paragraph 1 is replaced by the following:"

"1. The Commission shall, by means of implementing acts, identify the third countries that it considers as non-cooperating third countries in fighting IUU fishing on the basis of the criteria listed in this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(12)  in Article 33, paragraph 1 is replaced by the following:"

"1. The Commission shall, by means of implementing acts, include the third countries identified in accordance with Article 31(1) on a list of non cooperating third countries. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(13)  in Article 34, paragraph 1 is replaced by the following:"

"1. The Commission shall, by means of implementing acts, remove a third country from the list of non-cooperating third countries if the third country concerned demonstrates that the situation that warranted its listing has been rectified. A removal decision shall also take into consideration whether the identified third countries concerned have taken concrete measures capable of achieving a lasting improvement of the situation. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(14)  Article 36 is replaced by the following"

"Article 36

Temporary measures

1.  If there is evidence that the measures adopted by a third country undermine the conservation and management measures adopted by a regional fisheries management organisation, the Commission may establish, by means of implementing acts and in line with its international obligations, temporary measures lasting no more than six months to alleviate the effects of such third country measures. The Commission may take a new decision to extend those temporary measures for no more than six months.

2.  The temporary measures referred to in paragraph 1 may provide that:

3.  Temporary measures shall have immediate effect. They shall be notified to the Member States and to the third country concerned and published in the Official Journal of the European Union.";

(15)  in Article 49, paragraph 1 is replaced by the following:"

"1. Member States which obtain suitably documented information regarding sighted fishing vessels shall transmit this information without delay to the Commission or to the body designated by it with the format determined by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 54(2).";

(16)  in Article 51, paragraph 3 is replaced by the following:"

Those implementing acts shall be adopted in accordance with the the examination procedure referred to in Article 54(2).”;

(17)  Article 52 is deleted.

(18)  Article 54 is replaced by the following:"

"Article 54

Committee procedure

1.  The Commission shall be assisted by the Committee for fisheries and aquaculture established by Article 30 of Regulation (EC) No 2371/2002. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

2.  Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.";

(19)  the following Article is inserted:"

"Article 54a

Exercise of the delegation

1.  The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.

2.  The power to adopt delegated acts referred to in Articles 6(3), 9(1), 12(5), 12(6), 16(1), 16(4) and 17(3) shall be conferred on the Commission for a period of three years from …(6). The Commission shall draw up a report in respect of the delegation of power not later than nine months before the end of the three-year period. The delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period. [Am. 2]

3.  The delegation of power referred to in Articles 6(3), 9(1), 12(5), 12(6), 16(1), 16(4) and 17(3) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4.  As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

5.  A delegated act adopted pursuant to Articles 6(3), 9(1), 12(5), 12(6), 16(1), 16(4) and 17(3) shall enter into force only if no objection has been expressed either by the European Parliament or the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.".

Article 2

This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at

For the European Parliament For the Council

The President The President

(1) OJ C 351, 15.11.2012, p. 90. (2) OJ C 351, 15.11.2012, p. 90. (3) Position of the European Parliament of 12 June 2013. (4) OJ L 286, 29.10.2008, p. 1. (5) OJ L 55, 28.2.2011, p. 13. (6) + Date of the entry into force of this Regulation.

European Parliament legislative resolution of 12 June 2013 on the Council position at first reading with a view to the adoption of a directive of the European Parliament and of the Council laying down standards for the reception of applicants for international protection (recast) (14654/2/2012 – C7-0165/2013 – 2008/0244(COD))

P7_TA(2013)0254 A7-0214/2013

(Ordinary legislative procedure: second reading)

The European Parliament,

–  having regard to the Council position at first reading (14654/2/2012 – C7-0165/2013),

–  having regard to the opinions of the European Economic and Social Committee of 16 July 2009(1) and of 26 October 2011(2),

–  having regard to the opinion of the Committee of the Regions of 7 October 2009(3),

–  having regard to its position at first reading(4) on the Commission proposal to Parliament and the Council (COM(2008)0815),

–  having regard to the amended Commission proposal (COM(2011)0320),

–  having regard to Article 294(7) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 72 of its Rules of Procedure,

–  having regard to the recommendation for second reading of the Committee on Civil Liberties, Justice and Home Affairs (A7-0214/2013),

1.  Approves the Council position at first reading;

2.  Notes that the act is adopted in accordance with the Council position;

3.  Instructs its President to sign the act with the President of the Council, in accordance with Article 297(1) of the Treaty on the Functioning of the European Union;

4.  Instructs its Secretary-General to sign the act, once it has been verified that all the procedures have been duly completed, and, in agreement with the Secretary-General of the Council, to arrange for its publication in the Official Journal of the European Union;

5.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

(1) OJ C 317, 23.12.2009, p. 110. (2) OJ C 24, 28.1.2012, p. 80. (3) OJ C 79, 27.3.2010, p. 58. (4) OJ C 212 E, 5.8.2010, p. 348.

European Parliament legislative resolution of 12 June 2013 on the Council position at first reading with a view to the adoption of a regulation of the European Parliament and of the Council establishing the criteria and mechanisms for determining the Member State responsible for examining an application for international protection lodged in one of the Member States by a third-country national or a stateless person (recast) (15605/3/2012 – C7-0164/2013 – 2008/0243(COD))

P7_TA(2013)0255 A7-0216/2013

(Ordinary legislative procedure: second reading)

The European Parliament,

–  having regard to the Council position at first reading (15605/3/2012 – C7-0164/2013),

–  having regard to the opinion of the European Economic and Social Committee of 16 July 2009(1),

–  having regard to the opinion of the Committee of the Regions of 7 October 2009(2),

–  having regard to its position at first reading(3) on the Commission proposal to Parliament and the Council (COM(2008)0820),

–  having regard to Article 294(7) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 72 of its Rules of Procedure,

–  having regard to the recommendation for second reading of the Committee on Civil Liberties, Justice and Home Affairs (A7-0216/2013),

1.  Approves the Council position at first reading;

2.  Approves the joint statement by Parliament, the Council and the Commission annexed to this resolution;

3.  Notes that the act is adopted in accordance with the Council position;

4.  Instructs its President to sign the act with the President of the Council, in accordance with Article 297(1) of the Treaty on the Functioning of the European Union

5.  Instructs its Secretary-General to sign the act, once it has been verified that all the procedures have been duly completed, and, in agreement with the Secretary-General of the Council, to arrange for its publication in the Official Journal of the European Union, together with the joint statement by Parliament, the Council and the Commission;

6.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

ANNEX TO THE LEGISLATIVE RESOLUTION

Joint statement by the Council, the European Parliament and the Commission

The Council and the European Parliament invite the Commission to consider, without prejudice to its right of initiative, a revision of Article 8(4) of the Recast of the Dublin Regulation once the Court of Justice rules on case C-648/11 MA and Others vs. Secretary of State for the Home Department and at the latest by the time limits set in Article 46 of the Dublin Regulation. The European Parliament and the Council will then both exercise their legislative competences, taking into account the best interests of the child.

The Commission, in a spirit of compromise and in order to ensure the immediate adoption of the proposal, accepts to consider this invitation, which it understands as being limited to these specific circumstances and not creating a precedent.

(1) OJ C 317, 23.12.2009, p. 115. (2) OJ C 79, 27.3.2010, p. 58. (3) OJ C 212 E, 5.8.2010, p. 370.

European Parliament legislative resolution of 12 June 2013 on the Council position at first reading with a view to the adoption of a directive of the European Parliament and of the Council on common procedures for granting and withdrawing international protection (recast) (08260/2/2013 – C7-0163/2013 – 2009/0165(COD))

P7_TA(2013)0256 A7-0217/2013

(Ordinary legislative procedure: second reading)

The European Parliament,

–  having regard to the Council position at first reading (08260/2/2013 – C7-0163/2013),

–  having regard to the opinions of the European Economic and Social Committee of 28 April 2010(1) and of 26 October 2011(2).

–  having regard to its position at first reading(3) on the Commission proposal to Parliament and the Council (COM(2009)0554),

–  having regard to the amended Commission proposal (COM(2011)0319),

–  having regard to Article 294(7) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 72 of its Rules of Procedure,

–  having regard to the recommendation for second reading of the Committee on Civil Liberties, Justice and Home Affairs (A7-0217/2013),

1.  Approves the Council position at first reading;

2.  Notes that the act is adopted in accordance with the Council position;

3.  Instructs its President to sign the act with the President of the Council, in accordance with Article 297(1) of the Treaty on the Functioning of the European Union;

4.  Instructs its Secretary-General to sign the act, once it has been verified that all the procedures have been duly completed, and, in agreement with the Secretary-General of the Council, to arrange for its publication in the Official Journal of the European Union;

5.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

(1) OJ C 18, 19.1.2011, p. 80. (2) OJ C 24, 28.1.2012, p. 79. (3) OJ C 296 E, 2.10.2012, p. 184.

Amendments adopted by the European Parliament on 12 June 2013 on the proposal for a regulation of the European Parliament and of the Council on the Fund for European Aid to the Most Deprived (COM(2012)0617 – C7-0358/2012 – 2012/0295(COD))(1)

P7_TA(2013)0257 A7-0183/2013

(Ordinary legislative procedure: first reading)

Text proposed by the Commission   Amendment Amendment 1 Proposal for a regulation Recital 1 (1)  In line with the conclusions of the European Council of 17 June 2010, whereby the Union strategy for smart, sustainable and inclusive growth was adopted, the Union and the Member States have set themselves the objective of having at least 20 million fewer people at risk of poverty and social exclusion by 2020. (1)  In line with the conclusions of the European Council of 17 June 2010, whereby the Union strategy for smart, sustainable and inclusive growth (‘Europe 2020 strategy’) was adopted, the Union and the Member States have set themselves the objective of having at least 20 million fewer people at risk of poverty and social exclusion by 2020. Nonetheless, in 2010, nearly one quarter of Europeans (119,6 million) were at risk-of-poverty or social exclusion, approximately 4 million people more than in the previous year. However, poverty and social exclusion are not uniform across the Union and the gravity varies between the Member States. Amendment 2 Proposal for a regulation Recital 2 (2)  The number of persons suffering from material or even severe material deprivation in the Union is increasing and those persons are often too excluded to benefit from the activation measures of Regulation (EU) No […CPR], and, in particular of Regulation (EU) No […ESF]. (2)  The number of persons suffering from material , or even severe material deprivation, in the Union is increasing and in 2012 nearly 8 % of Union citizens lived in conditions of severe material deprivation. In addition, those persons are often too excluded to benefit from the activation measures of Regulation (EU) No ../….[CPR], and, in particular of Regulation (EU) No ../….[ESF]. Amendment 3 Proposal for a regulation Recital 2 a (new) (2a)  Women and children are over-represented among deprived people at- risk-of-poverty and of social exclusion, while women are often responsible for the food security and subsistence of families. Member States and the Commission should take appropriate steps to prevent any discrimination and should ensure equality between men and women and the coherent integration of the gender perspective at all stages of the preparation, the programming, management and implementation, the monitoring and the evaluation of the Fund, as well as in information and awareness raising campaigns and exchanges of best practices. Amendment 4 Proposal for a regulation Recital 2 b (new) (2b)  Article 2 of the Treaty on European Union underlines that the Union is founded on the values of respect for human dignity, freedom, democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to minorities. Amendment 5 Proposal for a regulation Recital 2 c (new) (2c)  Article 6 of the Treaty on European Union underlines that the Union recognises the rights, freedoms and principles set out in the Charter of Fundamental Rights of the European Union. Amendment 6 Proposal for a regulation Recital 2 d (new) (2d)  In order to prevent the marginalisation of vulnerable and low-income groups and to avert the increased risk of poverty and social exclusion, it is necessary to adopt strategies that promote active inclusion. Amendment 7 Proposal for a regulation Recital 4 (4)  The Fund for European Aid to the Most Deprived (hereinafter the ‘Fund’) should strengthen social cohesion by contributing to the reduction of poverty in the Union by supporting national schemes that provide non-financial assistance to the most deprived persons to alleviate food deprivation, homelessness and material deprivation of children. (4)  The Fund for European Aid to the Most Deprived (hereinafter the ‘Fund’) should strengthen social cohesion by contributing to the reduction of poverty in the Union by supporting national schemes that provide non-financial assistance to the most deprived persons to alleviate food and severe material deprivation. Amendment 8 Proposal for a regulation Recital 4 a (new) (4a)  The ETHOS definition (European typology of homelessness) is a potential starting point for allocating the fund to different categories of severely deprived people. Amendment 9 Proposal for a regulation Recital 4 b (new) (4b)  The Fund should not replace public policies undertaken by Member State governments with the aim of limiting the need for emergency food aid and developing sustainable targets and policies for the full eradication of hunger, poverty and social exclusion. Amendment 10 Proposal for a regulation Recital 4 c (new) (4c)  Given the increasing number of those at risk of poverty and social exclusion, a trend which is set to continue in the coming years, it is necessary to step up resources earmarked for the Fund under the Multiannual Financial Framework. Amendment 11 Proposal for a regulation Recital 4 d (new) (4d)  The Fund should also support efforts by the Member States to alleviate the acute material deprivation of the homeless. Amendment 12 Proposal for a regulation Recital 6 (6)  Those provisions also ensure that the operations supported shall comply with applicable Union and national laws, notably in regard to the safety of the goods that are distributed to the most deprived persons. (6)  Those provisions also ensure that the operations supported shall comply with applicable Union and national laws, notably in regard to the safety of food aid and basic material assistance to the most deprived persons. Amendment 13 Proposal for a regulation Recital 8 (8)  The operational programme of each Member State should identify and justify the forms of material deprivation to be addressed, and describe the objectives and features of the assistance to the most deprived persons that will be provided through the support of national schemes. It should also include elements necessary to ensure effective and efficient implementation of the operational programme. (8)  The operational programme of each Member States should identify and justify the forms of food and material deprivation to be addressed, and should describe the objectives and features of the assistance to the most deprived persons that will be provided through the support of national schemes. It should also include elements necessary to ensure the effective and efficient implementation of the operational programmes. Amendment 14 Proposal for a regulation Recital 8 a (new) (8a)  Severe food deprivation in the Union coincides with significant food wastage. The operational programme of each Member State should include a reference to how it will seek to exploit synergies between policies for reducing food wastage and combating food deprivation, in a coordinated manner. The operational programme of each Member State should also include a reference to how it will seek to address any administrative obstacles that obstruct commercial and non-commercial organisations willing to donate excess food supplies to not-for-profit organisations engaged in combating food deprivation. Amendment 15 Proposal for a regulation Recital 8 b (new) (8b)  With a view to ensuring the effective and efficient implementation of the measures financed from the Fund, cooperation should be fostered between regional and local authorities and bodies representing civil society. Member States should therefore promote the participation by all those involved in drawing up and implementing measures financed from the Fund. Amendment 16 Proposal for a regulation Recital 9 (9)  In order to maximise effectiveness of the Fund, in particular as regards the national circumstances, it is appropriate to set out a procedure for potential amendment of the operational programme. (9)  In order to maximise the effectiveness of the Fund and to ensure the maximum synergy with ESF measures, in particular as regards possible changes in national circumstances, it is appropriate to set out a procedure for the potential amendment of the operational programme. Amendment 17 Proposal for a regulation Recital 9 a (new) (9a)  In order to respond in the most effective and adequate manner to the various needs and to better reach out to the most deprived persons, the partnership principle should apply at all stages of the Fund. Amendment 18 Proposal for a regulation Recital 10 (10)  Exchanges of experience and best practices have a significant added value and the Commission should facilitate such dissemination. (10)  Exchanges of experience and best practices have a significant added value because they facilitate mutual learning and the Commission should facilitate and promote such dissemination, while seeking synergies with the exchange of best practices in the context of related Funds, in particular the ESF. Amendment 19 Proposal for a regulation Recital 11 (11)  In order to monitor the progress of operational programmes implementation, the Member States should draw up and provide to the Commission annual and final implementation reports thus ensuring the availability of essential and up-to-date date information. For the same purposes, Commission and each Member State should meet every year for a bilateral review, except if they agree otherwise. (11)  In order to monitor the progress of operational programmes implementation, the Member States should, in cooperation with the non-governmental organisations involved, draw up and provide to the Commission annual and final implementation reports thus ensuring the availability of essential and up-to-date date information. For the same purposes, Commission and each Member State should meet every year for a bilateral review, except if they agree otherwise. Amendment 20 Proposal for a regulation Recital 12 (12)  In order to improve the quality and design of each operational programme and evaluate the effectiveness and efficiency of the Fund, ex ante and ex post evaluations should be conducted. Those evaluations should be supplemented by surveys on the most deprived persons who have benefited from the operational programme and, if necessary, by evaluations during the programming period. The responsibilities of Member States and the Commission in this respect should be specified. (12)  In order to improve the quality and design of each operational programme and evaluate the effectiveness and efficiency of the Fund, ex ante and ex post evaluations should be conducted. Those evaluations should be supplemented by surveys on the most deprived persons who have benefited from the operational programme and, if necessary, by evaluations during the programming period. Those evaluation should also respect the privacy of end recipients and be carried out in such a way as not to stigmatise the most deprived people. The responsibilities of Member States and the Commission in this respect should be specified. Amendment 21 Proposal for a regulation Recital 12 a (new) (12a)  As highlighted in the Eurostat study ‘Measuring material deprivation in the EU - Indicators for the whole population and child-specific indicators’, substantial research has been carried out on material deprivation, enabling more refined data collection in the near future on materially deprived households, adults and children. Amendment 22 Proposal for a regulation Recital 12 b (new) (12b)  When carrying out those evaluations, supplemented by surveys on the most deprived persons, it should be borne in mind that deprivation is a complex concept which is difficult to grasp when using a small number of indicators as they can be misleading and thus result in ineffective policies. Amendment 23 Proposal for a regulation Recital 12 c (new) (12c)  As highlighted in the Eurofound (2012) - Third European Quality of Life Survey, material deprivation in the Union should be measured by the inability to afford items that are considered essential no matter what people own and how much they earn. Therefore, for the purpose of developing a deprivation index which allows for a more refined assessment of material deprivation of households, indicators such as income level, income inequality, the ability of making ends meet, over-indebtedness and satisfaction with living standards should be taken into account. Amendment 24 Proposal for a regulation Recital 13 (13)  Citizens have the right to know how the Union’s financial resources are invested and to what effects. For the purpose of ensuring wide dissemination of information about the achievements of the Fund and to ensure accessibility and transparency of funding opportunities, detailed rules about information and communication, especially in relation to the responsibilities of the Member States and the beneficiaries, should be set out. (13)  Citizens have the right to know how the Union’s financial resources are invested and to what effects. For the purpose of ensuring wide dissemination of information about the achievements of the Fund and to ensure accessibility and transparency of funding opportunities, detailed rules about information and communication, especially in relation to the responsibilities of local and regional authorities in the Member States and the beneficiaries, should be set out. Amendment 25 Proposal for a regulation Recital 15 (15)  It is necessary to establish a maximum level of co-financing from the Fund to the operational programmes to provide for a multiplier effect of Union resources, while the situation of Member States facing temporary budget difficulties should be addressed. (15)  It is necessary to establish a level of co-financing from the Fund to the operational programmes to provide for a multiplier effect of Union resources. The situation of Member States facing temporary budget difficulties should also be addressed. Amendment 26 Proposal for a regulation Recital 16 (16)  Uniform and equitable rules on the eligibility period, operations and expenditures for the Fund should be applied across the Union. The conditions of eligibility should reflect the specific nature of the Fund’s objectives and target populations, notably through adequate conditions of eligibility of the operations as well as forms of support and rules and conditions of reimbursement. (16)  Uniform, simple and equitable rules on the eligibility period, operations and expenditures for the Fund should be applied across the Union. The conditions of eligibility should reflect the specific nature of the Fund’s objectives and target populations, notably through adequate and simplified conditions of eligibility of the operations as well as forms of support and rules and conditions of reimbursement. Amendment 27 Proposal for a regulation Recital 17 (17)  [Proposal for a] Regulation of the European Parliament and of the Council establishing a common organisation of the markets in agricultural products (Single CMO Regulation)5 provides that products bought under public intervention may be disposed of by making them available for the scheme for food distribution to the most deprived in the Union if that scheme so provides. Given that, depending on the circumstances, obtaining of food from the use, processing or sale of such stocks might be economically the most favourable option, it is appropriate to provide for such a possibility in this Regulation. The amounts derived from a transaction concerning the stocks should be used for the benefit of the most deprived, and should not be applied so as to diminish the obligation of the Member States to co-finance the programme. In order to ensure the most efficient possible use of the intervention stocks and the proceeds thereof, the Commission should in accordance with Article 19(e) of the Regulation (EU) No [CMO] adopt implementing acts establishing procedures by which the products in intervention stocks may be used, processed or sold for the purposes of the most deprived programme. (17)  [Proposal for a] Regulation of the European Parliament and of the Council establishing a common organisation of the markets in agricultural products (Single CMO Regulation)5 provides that products bought under public intervention may be disposed of by making them available for the scheme for food distribution to the most deprived in the Union if that scheme so provides. Given that, depending on the circumstances, obtaining of food from the use, processing or sale of such stocks might be economically the most favourable option, it is appropriate to provide for such a possibility in this Regulation. The amounts derived from a transaction concerning the stocks should be used for the benefit of the most deprived, and should not be applied so as to diminish the obligation of the Member States to co-finance the programme. In order to ensure the most efficient possible use of the intervention stocks and the proceeds thereof, the Commission should in accordance with Article 19(e) of the Regulation (EU) No [CMO] adopt implementing acts establishing procedures by which the products in intervention stocks may be used, processed or sold for the purposes of the most deprived programme. Partner organisations should be allowed to distribute additional food supplies coming from other sources including intervention stock made available under Article 15 of Regulation (EU) No. ... [CMO]. Amendment 28 Proposal for a regulation Recital 18 (18)  It is necessary to specify the types of actions that can be undertaken at the initiative of the Commission and of the Member States as technical assistance supported by the Fund. (18)  It is necessary to specify the types of actions that can be undertaken at the initiative of the Commission and of the Member States as technical assistance supported by the Fund. Which types of action are specified should be decided in close co-operation with the managing authorities and partner organisations. Amendment 29 Proposal for a regulation Recital 27 (27)  Union budget commitments should be effected annually. In order to ensure effective programme management, it is necessary to lay down common rules for interim payment requests, the payment of the annual balance and the final balance. (27)  Union budget commitments should be effected annually. In order to ensure effective programme management, it is necessary to lay down simple common rules for interim payment requests, the payment of the annual balance and the final balance. Amendment 30 Proposal for a regulation Recital 30 (30)  In order to safeguard the Union's financial interests, there should be measures limited in time that allow the authorising officer by delegation to interrupt payments where there is evidence to suggest a significant deficiency in the functioning of the management and control system, evidence of irregularities linked to a payment application, or a failure to submit documents for the purpose of the examination and acceptance of accounts. (30)  In order to safeguard the Union's financial interests, there should be measures limited in time that allow the authorising officer by delegation to interrupt payments where there is evidence to suggest a significant deficiency in the functioning of the management and control system, evidence of irregularities linked to a payment application, or a failure to submit documents for the purpose of the examination and acceptance of accounts, or serious delays in project implementation, with convincing evidence that the objectives set for the projects in question are not being met. Amendment 31 Proposal for a regulation Recital 32 (32)  In order to ensure that expenditure financed by the Union budget in any given financial year is used in accordance with the applicable rules, an appropriate framework should be created for the annual examination and acceptance of accounts. Under this framework, the designated bodies should submit to the Commission, in respect of the operational programme, a management declaration accompanied by the certified annual accounts, an annual summary of the final audit reports and of controls carried out and an independent audit opinion and control report. (32)  In order to ensure that expenditure financed by the Union budget in any given financial year is used in accordance with the applicable rules, an appropriate and simple framework should be created for the annual examination and acceptance of accounts. Under this framework, the designated bodies should submit to the Commission, in respect of the operational programme, a management declaration accompanied by the certified annual accounts, an annual summary of the final audit reports and of controls carried out and an independent audit opinion and control report. Amendment 32 Proposal for a regulation Recital 35 (35)  The frequency of audits on operations should be proportionate to the extent of the Union's support from the Fund. In particular, the number of audits carried out should be reduced where the total eligible expenditure for an operation does not exceed EUR 100 000. Nevertheless, it should be possible to carry out audits at any time where there is evidence of an irregularity or fraud, or as part of an audit sample. In order that the level of auditing by the Commission is proportionate to the risk, the Commission should be able to reduce its audit work in relation to operational programmes where there are no significant deficiencies or where the audit authority can be relied on. In addition, the scope of audits should take fully into account the objective and the features of the target populations of the Fund. (35)  The frequency of audits on operations should be proportionate to the extent of the Union's support from the Fund. In particular, the number of audits carried out should be reduced where the total eligible expenditure for an operation does not exceed EUR 100 000. Nevertheless, it should be possible to carry out audits at any time where there is evidence of an irregularity or fraud, or as part of an audit sample. In order that the level of auditing by the Commission is proportionate to the risk, the Commission should be able to reduce its audit work in relation to operational programmes where there are no significant deficiencies or where the audit authority can be relied on. In addition, the scope of audits should take fully into account the objective and the features of the target populations of the Fund, as well as the voluntary character of its beneficiary bodies. Amendment 33 Proposal for a regulation Recital 41 (41)  This Regulation respects fundamental rights and observes the principles recognised in particular by the Charter of Fundamental Rights of the European Union, including respect for human dignity and for private and family life, the right to the protection of personal data, the rights of the child, the rights of the elderly, equality between men and women, and the prohibition of discrimination. This Regulation must be applied according to these rights and principles. (41)  This Regulation respects fundamental rights and observes the principles recognised in particular by the Charter of Fundamental Rights of the European Union, including respect for human dignity and for private and family life, the right to the protection of personal data, the rights of the child, the right to social assistance and to housing, the rights of the elderly, equality between men and women, and the prohibition of discrimination. This Regulation must be applied according to these rights and principles. Amendment 34 Proposal for a regulation Recital 42 a (new) (42a)  Taking into account the date by which invitations to tender have to be issued, the time limits for adoption of this Regulation and the time needed for the preparation of operational programmes, rules should be put in place to permit a smooth transition in 2014 so that there is no interruption in the supply of food. Amendment 35 Proposal for a regulation Recital 42 b (new) (42b)  It should be ensured that the Fund complements programmes and actions funded under the ESF and is coordinated as closely as possible with the ESF. Setting up parallel structures in the fight against poverty which increase administrative burdens and make coordination and synergies difficult, should be avoided. Amendment 36 Proposal for a regulation Article 1 1.  This Regulation establishes the Fund for European Aid to the Most Deprived (hereinafter ‘the Fund’) for the period from 1 January 2014 to 31 December 2020 and determines the objectives of the Fund, the scope of its support, the financial resources available and the criteria for their allocation and lays down the rules necessary to ensure the effectiveness of the Fund. 1.  This Regulation establishes the Fund for European Aid to the Most Deprived (hereinafter ‘the Fund’) for the period from 1 January 2014 to 31 December 2020 and determines the objectives of the Fund, the scope of its support, the financial resources available and the criteria for their allocation and lays down the rules necessary to ensure the effectiveness and efficiency of the Fund. Amendment 37 Proposal for a regulation Article 2 The following definitions shall apply: For the purpose of this Regulation the following definitions shall apply: (1) ‘most deprived persons’ means physical persons, whether individuals, families, households or groups composed of such persons, whose need for assistance has been established according to the objective criteria adopted by the national competent authorities, or defined by the partner organisations and which are approved by those competent authorities; (1) ‘most deprived persons’ means physical persons, whether individuals, families, households or groups composed of such persons, whose need for assistance has been established according to the objective criteria set by the national competent authorities in collaboration with relevant stakeholders, or defined by the partner organisations and which are approved by those national competent authorities; (2) ‘partner organisations’ means public bodies or non-for-profit organisations that deliver the food or goods directly or through other partner organisations to the most deprived persons, and whose operations have been selected by the managing authority in accordance with Article 29(3)(b); (2) ‘partner organisations’ means public bodies or non-for-profit organisations that deliver the food and/or basic material assistance - in accordance with the eligibility criteria set out in Article 24 - directly or through other partner organisations to the most deprived persons, and whose operations have been selected by the managing authority in accordance with Article 29(3)(b); (3) 'national schemes' means any scheme having, at least partly, the same objectives as the Fund and which is being implemented at national, regional or local level by public bodies or non-for-profit organisations; (3) 'national schemes' means any scheme having, at least partly, the same objectives as the Fund and which is being implemented at national, regional or local level by public bodies or non-for-profit organisations; (4) 'operation' means a project, contract or action selected by the managing authority of the operational programme concerned, or under its responsibility, contributing to the objectives of the operational programme to which it relates; (4) 'operation' means a project, contract or action selected by the managing authority of the operational programme concerned, or under its responsibility, contributing to the objectives of the operational programme to which it relates; (5) 'completed operation' means an operation that has been physically completed or fully implemented and in respect of which all related payments have been made by beneficiaries and the support from the corresponding operational programme has been paid to the beneficiaries; (5) 'completed operation' means an operation that has been physically completed or fully implemented and in respect of which all related payments have been made by beneficiaries and the support from the corresponding operational programme has been paid to the beneficiaries; (6) 'beneficiary' means a public or private body responsible for initiating or initiating and implementing operations; (6) 'beneficiary' means a public or private body responsible for initiating or initiating and implementing operations; (7) ‘end recipient’ means the most deprived persons receiving the food or goods and/or benefiting from the accompanying measures; (7) ‘end recipient’ means people suffering from food and/or material deprivation and receiving non-financial assistance and/or benefiting from the accompanying measures in the framework of this fund; (7a) 'accompanying measures' means measures beyond the distribution of food and basic material assistance, taken with the aim of overcoming social exclusion and of tackling social emergencies in a more empowering and sustainable way; (8) ‘public support' means any financial support given to an operation that originates from the budget of national, regional or local public authorities, the budget of the Union related to the Fund, the budget of public law bodies or the budget of associations of public authorities or any body governed by public law within the meaning of Article 1(9) of Directive 2004/18/EC of the European Parliament and of the Council; (8) ‘public support' means any financial support given to an operation that originates from the budget of national, regional or local public authorities, the budget of the Union related to the Fund, the budget of public law bodies or the budget of associations of public authorities or any body governed by public law within the meaning of Article 1(9) of Directive 2004/18/EC of the European Parliament and of the Council; (9) 'intermediate body' means any public or private body which acts under the responsibility of a managing or certifying authority, or which carries out duties on behalf of such an authority in relation to beneficiaries' implementing operations; (9) 'intermediate body' means any public or private body which acts under the responsibility of a managing or certifying authority, or which carries out duties on behalf of such an authority in relation to beneficiaries' implementing operations; (10) 'accounting year’ means the period from 1 July to 30 June, except for the first accounting year, in respect of which it means the period from the starting date for eligibility of expenditure until 30 June 2015, the final accounting year being from 1 July 2022 to 30 June 2023; (10) 'accounting year’ means the period from 1 July to 30 June, except for the first accounting year, in respect of which it means the period from the starting date for eligibility of expenditure until 30 June 2015, the final accounting year being from 1 July 2022 to 30 June 2023; (11) 'financial year' means the period from 1 January to 31 December. (11) 'financial year' means the period from 1 January to 31 December. Amendment 73 Proposal for a regulation Article 2 a (new) Article 2a The right to use the Fund shall apply to all Members States. Amendment 38 Proposal for a regulation Article 3 1.  The Fund shall promote social cohesion in the Union by contributing to achieving the poverty reduction target of at least 20 million of the number of persons at risk of poverty and social exclusion in accordance with the Europe 2020 strategy. The Fund shall contribute to achieving the specific objective of alleviating the worst forms of poverty in the Union by providing non-financial assistance to the most deprived persons. This objective shall be measured by the number of persons receiving assistance from the Fund. 1.  The Fund shall promote social cohesion, enhance social inclusion and combat poverty in the Union by contributing to achieving the poverty reduction target of at least 20 million of the number of persons at risk of poverty and social exclusion in accordance with the Europe 2020 strategy, whilst complementing the European Social Fund. The Fund shall contribute to achieving the specific objective of alleviating and eradicating the worst forms of poverty, in particular food poverty, by providing non-financial assistance to the most deprived persons. 2.  The Fund shall contribute to the sustainable eradication of food poverty, offering most deprived persons the prospect of a decent life. This objective and the structural impact of the fund shall be qualitatively and quantitatively assessed. 3.  The Fund shall complement and shall not replace or reduce sustainable national poverty eradication and social inclusion programmes, which remain the responsibility of Member States. Amendment 39 Proposal for a regulation Article 4 1.  The Fund shall support national schemes whereby food products and basic consumer goods for the personal use of homeless persons or of children are distributed to the most deprived persons through partner organisations selected by Member States. 1.  The Fund shall support national schemes whereby food products and/or basic material assistance, including starter packs, for the personal use of the end recipients are distributed to the most deprived persons through partner organisations selected by Member States. 2.  The Fund may support accompanying measures, complementing the provision of food and goods, contributing to the social inclusion of the most deprived persons. 2.  The Fund may support accompanying measures, complementing the provision of food and basic material assistance, contributing to social inclusion and a healthy diet and reducing dependencies of the most deprived persons. Such measures should be closely linked to the local activities of the European Social Fund and the activities of organisations which focus on the eradication of poverty. 2a.  The Fund may provide beneficiaries with assistance to make more efficient use of local food supply chains, thereby augmenting and diversifying the supply of food for the most deprived, as well as reducing and preventing food wastage. 3.  The Fund shall promote mutual, learning, networking and dissemination of good practices in the area of non-financial assistance to the most deprived persons. 3.  The Fund shall promote, at European level, mutual learning, networking and dissemination of good practices in the area of non-financial assistance to the most deprived persons. Relevant organisations and projects that do not make use of the Fund may also be included. Amendments 40 and 76 Proposal for a regulation Article 5 1.  The part of the Union budget allocated to the Fund shall be implemented within the framework of shared management between the Member States and the Commission, in accordance with Article 55(1)(b) of the Financial Regulation, with the exception of technical assistance at the initiative of the Commission, which shall be implemented in the framework of direct management in accordance with Article 55(1) (a) of the Financial Regulation. 1.  The part of the Union budget allocated to the Fund shall be implemented within the framework of shared management between the Member States and the Commission, in accordance with Article 55(1)(b) of the Financial Regulation, with the exception of technical assistance at the initiative of the Commission, which shall be implemented in the framework of direct management in accordance with Article 55(1) (a) of the Financial Regulation. 2.  The Commission and the Member States shall ensure that support from the Fund is consistent with the policies and priorities of the Union and complementary to other instruments of the Union. 2.  The Commission and the Member States shall ensure that support from the Fund is consistent with the policies and priorities of the Union and complementary to other instruments of the Union. 3.  Support from the Fund shall be implemented in close cooperation between the Commission and the Member States. 3.  Support from the Fund shall be provided in close co-operation between the Commission and the Member States in co-operation with as well as the competent regional and local authorities and partner organisations involved. 4.  Member States and the bodies designated by them for that purpose shall be responsible for implementing the operational programmes and carrying out their tasks under this Regulation in accordance with the institutional, legal and financial framework of the Member State and subject to compliance with this Regulation. 4.  Member States and the bodies designated by them for that purpose, or where appropriate, the competent regional authorities, shall be responsible for implementing the operational programmes and carrying out their tasks under this Regulation in accordance with the institutional, legal and financial framework of the Member State and subject to compliance with this Regulation. 5.  Arrangements for the implementation and use of the Fund, and in particular the financial and administrative resources required in relation to reporting, evaluation, management and control shall take into account the principle of proportionality having regard to the level of support allocated. 5.  Arrangements for the implementation and use of the Fund, and in particular the financial and administrative resources required in relation to reporting, evaluation, management and control shall take into account the limited administrative capacity of organisations that function in the main thanks to volunteers, and shall ensure that the administrative burden placed on them is not greater than it was under the previous programme. 6.  In accordance with their respective responsibilities, the Commission and the Member States shall ensure coordination with the European Social Fund, and with other Union policies and instruments 6.  In accordance with their respective responsibilities, and in order to prevent double funding, the Commission and the Member States shall ensure coordination with the European Social Fund, and with other Union policies and instruments, in particular Union actions in the field of health. 7.  The Commission and the Member States and the beneficiaries shall apply the principle of sound financial management in accordance with Article 26 of the Financial Regulation. 7.  The Commission and the Member States and the beneficiaries shall apply the principle of sound financial management in accordance with Article 26 of the Financial Regulation. 8.  The Commission and the Member States shall ensure the effectiveness of the Fund, in particular through monitoring, reporting and evaluation. 8.  The Commission and the Member States shall ensure the effectiveness of the Fund, in particular through monitoring, reporting and evaluation and through the close and regular consultation of local and regional authorities and partner organisations implementing the fund's measures in the impact assessments. 9.  The Commission and the Member States shall carry out their respective roles in relation to the Fund with the aim of reducing the administrative burden for beneficiaries. 9.  The Commission and the Member States shall take action to guarantee the effectiveness of the Fund, and shall carry out their respective roles in relation to the Fund with the aim of reducing the administrative burden for beneficiaries; 10.  The Commission and the Member States shall ensure that equality between men and women and the integration of the gender perspective are promoted during the various stages of the implementation of the Fund. The Commission and the Member States shall take appropriate steps to prevent any discrimination based on sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation in obtaining access to the Fund. 10.  The Commission and the Member States shall ensure that equality between men and women and the integration of the gender perspective are taken into account during the various stages of the preparation, the programming, management and implementation, the monitoring and the evaluation of the Fund, as well as in information and awareness raising campaigns and exchanges of best practices, while using data broken down by gender where available. The Commission and the Member States shall take appropriate steps to prevent any discrimination based on sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation in obtaining access to the Fund, and related programmes and operations. 11.  Operations financed by the Fund shall comply with applicable Union and national law. In particular, the Fund may only be used to support distribution of food or goods that are in conformity with the Union legislation on consumer product safety. 11.  Operations financed by the Fund shall comply with applicable Union and national law. In particular, the Fund may only be used to support distribution of food or basic material assistance that are in conformity with the Union legislation on consumer product safety. 11a. Where appropriate, the choice of food products shall be based on principles of balanced nutrition and quality food, including fresh produce, and should contribute to a healthy diet of the end recipients. 12.  Member States and beneficiaries shall choose the food products and the goods on the basis of objective criteria. The selection criteria for the food products, and where appropriate for goods, shall also take into consideration climatic and environmental aspects, in particular with a view to reduction of food waste. 12.  Member States and beneficiaries shall choose food products and the basic material assistance on the basis of objective criteria related to the needs of the most deprived persons. 12a. Where appropriate priority should be given to local and regional products, taking climatic and environmental considerations into account, in particular with a view to the reduction of food waste at every stage of the distribution chain. This may include partnerships with companies throughout the food chain in a spirit of corporate social responsibility. 12b. The Commission and the Member States shall ensure that aid granted in the framework of this Fund respects the dignity of the most deprived persons. Amendment 75 Proposal for a regulation Article 6 - paragraph 1 1.  The global resources available for budgetary commitment from the Fund for the period 2014-2020 shall be EUR 2 500 000 000 at 2011 prices, in accordance with the annual breakdown set out in Annex II. 1.  The global resources available for budgetary commitment from the Fund for the period 2014-2020 (in 2011 prices) shall not be less, in real terms, than seven times the budgetary allocation, adopted in the 2011 budget, for the aid for deprived persons programme. Amendment 42 Proposal for a regulation Article 6 – paragraph 3 3.  The Commission shall adopt a decision, by means of implementing acts, setting out the annual breakdown of the global resources by Member State, in accordance with Article 84(5) of Regulation (EU) No… (CPR), without prejudice to paragraph 4 of this Article, taking into account the following indicators established by Eurostat: 3.  The Commission shall adopt a decision, by means of implementing acts, setting out the annual breakdown of the global resources by Member State, in accordance with Article 84(5) of Regulation (EU) No… (CPR), without prejudice to paragraph 4 of this Article, based on the most recent indicators established by Eurostat concerning: (a) the population suffering from severe material deprivation; (a) the population suffering from severe material deprivation, as a percentage of the total population; (b) the population living in households with very low work intensity. (b) changes in the population living in households with very low work intensity. Amendment 43 Proposal for a regulation Article 7 1.  Each Member State shall submit to the Commission one operational programme covering the period between 1 January 2014 and 31 December 2020 within three months of the entry into force of this Regulation, containing the following items: 1.  Each Member State shall submit to the Commission one operational programme covering the period between 1 January 2014 and 31 December 2020 within three months of the entry into force of this Regulation, containing the following items: (-a) a specification of the amount of its allocated share to be used. (a) an identification of and a justification for selecting the type(s) of material deprivation to be addressed under the operational programme and a description for each type of material deprivation addressed of the main characteristics and the objectives of the distribution of food or goods and the accompanying measures to be provided, having regard to the results of the ex ante evaluation carried out in accordance with Article 14; (a) a justification for selecting the type(s) of material deprivation to be addressed and a description of the main characteristics of the operational programme, having regard to the results of the ex ante evaluation carried out in accordance with Article 14; (b) a description of the corresponding national scheme(s) for each type of material deprivation addressed; (b) a description of the corresponding national scheme(s) for each type of material deprivation addressed; (c) a description of the mechanism setting the eligibility criteria for the most deprived persons, differentiated if necessary by type of material deprivation addressed; (c) a description of the mechanism setting the eligibility criteria for the most deprived persons, differentiated if necessary by type of material deprivation addressed; (d) the criteria for the selection of operations and a description of the selection mechanism differentiated if necessary by type of material deprivation addressed; (d) the criteria for the selection of operations and a description of the selection mechanism differentiated if necessary by type of material deprivation addressed; (e) the criteria for the selection of the partner organisations differentiated if necessary by type of material deprivation addressed; (e) the criteria for the selection of the partner organisations differentiated if necessary by type of material deprivation addressed; (f) a description of the mechanism used to ensure complementarity with the European Social Fund; (f) a description of the mechanism used to ensure complementarity with the European Social Fund showing a clear demarcation line between activities covered by those two funds; (fa) a description of the specific measures envisaged and of the funds allocated to give effect to the principles set out in Article 5. (g) a description of the provisions for implementing the operational programme containing the identification of the managing authority, the certifying authority where applicable, the audit authority and the body to which payments are to be made by the Commission and a description of the monitoring procedure; (g) a description of the provisions for implementing the operational programme containing the identification of the managing authority, the certifying authority where applicable, the audit authority and the body to which payments are to be made by the Commission and a description of the monitoring procedure; (h) a description of the measures taken to involve the competent regional, local and other public authorities as well as bodies representing civil society and bodies responsible for promoting equality and non-discrimination in the preparation of the operational programme; (h) a description of the measures taken to involve the competent regional, local and other public authorities as well as bodies representing civil society and bodies responsible for promoting equality and non-discrimination in the preparation of the operational programme; (i) a description of the planned use of technical assistance in accordance with Article 25(2), including actions to reinforce the administrative capacity of the beneficiaries in relation to the implementation of the operational programme; (i) a description of the planned use of technical assistance in accordance with Article 25(2), including actions to reinforce the administrative capacity of the beneficiaries in relation to the implementation of the operational programme; (j) a financing plan containing following tables: (j) a financing plan containing following tables: (i) a table specifying for each year in accordance with Article 18 the amount of the financial appropriation envisaged for support from the Fund and the co-financing in accordance with Article 18; (i) a table specifying for each year in accordance with Article 18 the amount of the financial appropriation envisaged for support from the Fund and the co-financing in accordance with Article 18; (ii) a table specifying, for the whole programming period, the amount of the total financial appropriation in respect of support from the operational programme for each type of material deprivation addressed as well as the corresponding accompanying measures. (ii) a table specifying, for the whole programming period, the amount of the total financial appropriation in respect of support from the operational programme for each type of material deprivation addressed as well as the corresponding accompanying measures. The partner organisations referred to in point (e) that deliver directly the food or goods shall themselves undertake activities complementing the provision of material assistance, aiming at the social inclusion of the most deprived persons, whether or not these activities are supported by the Fund. The partner organisations referred to in point (e) that deliver directly the food and/or basic material assistance shall themselves or in cooperation with other organisations undertake activities complementing the provision of material assistance, aiming at the social inclusion of the most deprived persons, whether or not these activities are supported by the Fund. 2.  Operational programmes shall be drawn up by Member States or any authority designated by them in cooperation with the competent regional, local and other public authorities as well as bodies representing civil society and bodies responsible for promoting equality and non-discrimination. 2.  Operational programmes shall be drawn up by Member States or any authority designated by them in cooperation with the competent regional, local and other public authorities as well as all relevant stakeholders. Member States shall ensure that the operational programmes are closely linked to national social inclusion policies. 3.  The Member States shall draft their operational programmes in accordance with the template set out in Annex I. 3.  The Member States shall draft their operational programmes in accordance with the template set out in Annex I. Amendment 44 Proposal for a regulation Article 9 – paragraph 1 1.  Member State may submit a request for amendment of the operational programme. It shall be accompanied by the revised operational programme and the justification for the amendment. 1.  A Member State may submit a request for amendment of the operational programme. It shall be accompanied by the revised operational programme and the justification for the amendment. Amendment 45 Proposal for a regulation Article 10 Platform Exchange of good practice The Commission shall set up a Union level platform to facilitate the exchange of experience, capacity building and networking, as well as dissemination of relevant outcomes in the area of non-financial assistance to the most deprived persons. The Commission shall facilitate the exchange of experience, capacity building, networking and social innovation at Union level, thereby linking partner organisations and other relevant stakeholders from all Member States. In addition, the Commission shall consult, at least once a year, the organisations which represent the partner organisations at Union level on the implementation of support from the Fund. In addition, the Commission shall consult, at least once a year, the organisations which represent the partner organisations at Union level on the implementation of support from the Fund and shall thereafter report back to the European Parliament and to the Council in due course. The Commission shall also facilitate the online dissemination of relevant outcomes, reports and information in relation to the Fund. Amendment 46 Proposal for a regulation Article 11 1.  From 2015 to 2022, the Member States shall submit to the Commission, by 30 June of each year, an annual implementation report for the operational programme in the previous financial year. 1.  From 2015 to 2022, the Member States shall submit to the Commission, by 30 June of each year, an annual implementation report for the operational programme in the previous financial year. 2.  The Member States shall draft the annual implementation report in accordance with the template adopted by the Commission, including the list of common input and outcome indicators. 2.  The Member States shall draft the annual implementation report in accordance with the template adopted by the Commission, including the list of common input and outcome indicators. These indicators shall include: (a) recent changes in social policy spending on severe material deprivation, in absolute terms, in relation to GDP and in relation to total public spending. (b) recent changes in social policy legislation on access to funding for beneficiaries and other organisations addressing severe material deprivation. 3.  The annual implementation reports shall be admissible where they contain all the information required in accordance with the template referred in paragraph 2, including the common indicators. The Commission shall inform the Member State concerned within 15 working days from the date of receipt of the annual implementation report if it is not admissible. Where the Commission has not sent that information within the time limit, the report shall be deemed admissible. 3.  The annual implementation reports shall be admissible where they contain all the information required in accordance with the template referred in paragraph 2, including the common indicators. The Commission shall inform the Member State concerned within 15 working days from the date of receipt of the annual implementation report if it is not admissible. Where the Commission has not sent that information within the time limit, the report shall be deemed admissible. 4.  The Commission shall examine the annual implementation report and inform the Member State of its observations within two months of the receipt of the annual implementation report. 4.  The Commission shall examine the annual implementation report and inform the Member State of its observations within two months of the receipt of the annual implementation report. Where the Commission does not provide observations within this time limit, the reports shall be deemed to be accepted. Where the Commission does not provide observations within this time limit, the reports shall be deemed to be accepted. 5.  The Member States shall submit a final report on the implementation of the operational programme by 30 September 2023. 5.  The Member States shall submit a final report on the implementation of the operational programme by 30 September 2023. The Member States shall draft the final implementation report in accordance with the template adopted by the Commission. The Member States shall draft the final implementation report in accordance with the template adopted by the Commission. The Commission shall examine the final implementation report and inform the Member State of its observations within five months of receipt of the final report. The Commission shall examine the final implementation report and inform the Member State of its observations within five months of receipt of the final report. Where the Commission does not provide observations within this time limit, the reports shall be deemed to be accepted. Where the Commission does not provide observations within this time limit, the reports shall be deemed to be accepted. 6.  The Commission shall adopt the template for the annual implementation report, including the list of common indicators and for the final implementation report by means of implementing act. This implementing act shall be adopted in accordance with the advisory procedure referred to in Article 60(2). 6.  The Commission shall adopt the template for the annual implementation report, including the list of common indicators and for the final implementation report by means of implementing act. This implementing act shall be adopted in accordance with the advisory procedure referred to in Article 60(2). 7.  The Commission may address observations to a Member State concerning the implementation of the operational programme. The managing authority shall within three months inform the Commission of the corrective measures taken. 7.  The Commission may address observations to a Member State concerning the implementation of the operational programme. The managing authority shall within three months inform the Commission of the corrective measures taken. 8.  The managing authority shall make public a summary of the contents of each annual and final implementation report. 8.  The managing authority shall make public a summary of the contents of each annual and final implementation report. 8a.  The Commission shall present a summary of the annual implementation reports and the final implementation reports to the European Parliament and Council in due time. 8b.  The procedure concerning implementation reports shall not be excessive in comparison to the funds allocated and to the nature of the support and shall not cause unnecessary administrative burdens. Amendment 47 Proposal for a regulation Article 12 Bilateral review meeting Bilateral review meetings 1.  The Commission and each Member State shall meet every year from 2014 to 2022, unless otherwise agreed, to examine the progress in implementing the operational programme, taking account of the annual implementation report and the Commission's observations referred to in Article 11(7), where applicable. 1.  The Commission and each Member State shall meet every year from 2014 to 2022, unless otherwise agreed, to examine the progress in implementing the operational programme, taking account of the annual implementation report and the Commission's observations referred to in Article 11(7), where applicable. 2.  The bilateral review meeting shall be chaired by the Commission. 2.  The bilateral review meeting shall be chaired by the Commission. 3.  The Member State shall ensure that appropriate follow-up is given to any comments of the Commission following the meeting. 3.  The Member State shall ensure that appropriate follow-up is given to any comments of the Commission following the meeting and refer to it in the implementation report of the following year or , as appropriate, years Amendment 48 Proposal for a regulation Article 13 1.  Member States shall provide the resources necessary for carrying out evaluations, and shall ensure that procedures are in place to produce and collect the data necessary for evaluations, including data related to the common indicators referred to in Article 11. 1.  Member States shall provide the resources necessary for carrying out evaluations, and shall ensure that procedures are in place to produce and collect the data necessary for evaluations, including data related to the common indicators referred to in Article 11. 2.  Evaluations shall be carried out by experts that are functionally independent of the authorities responsible for operational programme implementation. All evaluations shall be made public in their entirety. 2.  Evaluations shall be carried out by experts that are functionally independent of the authorities responsible for operational programme implementation. All evaluations shall be made public in their entirety but may under no circumstances include information regarding the identity of end recipients. 2a.  The evaluations shall not be excessive in comparison to the funds allocated or to the nature of the support and shall not cause unnecessary administrative burdens. Amendment 49 Proposal for a regulation Article 14 1.  Member States shall carry out an ex ante evaluation of the operational programme. 1.  Member States shall carry out an ex ante evaluation of the operational programme. 2.  The ex ante evaluation shall be carried out under the responsibility of the authority responsible for preparing the operational programmes. It shall be submitted to the Commission at the same time as the operational programme, together with an executive summary. 2.  The ex ante evaluation shall be carried out under the responsibility of the authority responsible for preparing the operational programmes. It shall be submitted to the Commission at the same time as the operational programme, together with an executive summary. 3.  Ex ante evaluations shall appraise the following elements: 3.  Ex ante evaluations shall appraise the following elements: (a) the contribution to the Union objective of at least 20 million fewer people at risk of poverty and social exclusion by 2020, having regard to the selected type of material deprivation to be addressed, taking into account national circumstances in terms of poverty and social exclusion and material deprivation; (a) the contribution to the Union objective of at least 20 million fewer people living in poverty or at risk of poverty and social exclusion by 2020, having regard to the selected type of material deprivation to be addressed, taking into account national circumstances in terms of poverty and social exclusion and material deprivation; (aa) the contribution to the reduction of food waste; (b) the internal coherence of the proposed operational programme and its relation with other relevant financial instruments; (b) the internal coherence of the proposed operational programme and its relation with other relevant financial instruments; (c) the consistency of the allocation of budgetary resources with the objective of the operational programme; (c) the consistency of the allocation of budgetary resources with the objective of the operational programme; (d) contribution of the expected outputs to the results; (d) the contribution of the expected outputs to the objectives of the Fund; (da) the effective engagement of relevant stakeholders in the design and implementation of the operational programme; (e) the suitability of the procedures for monitoring the operational programme and for collecting the data necessary to carry out evaluations. (e) the suitability of the procedures for monitoring the operational programme and for collecting the data necessary to carry out evaluations. Amendment 50 Proposal for a regulation Article 15 1.  During the programming period, the managing authority may carry out evaluations for assessing the effectiveness and efficiency of the operational programme. 1.  During the programming period, the managing authority shall evaluate the effectiveness and efficiency of the operational programme. 2.  The managing authority shall carry out a structured survey on end recipients in 2017 and 2021, in accordance with the template provided by the Commission. The Commission shall adopt the template by means of an implementing act. This implementing act shall be adopted in accordance with the advisory procedure referred to in Article 60(2). 2.  The managing authority shall carry out a structured survey on end recipients in 2017 and 2021, in accordance with the template provided by the Commission. The Commission shall adopt implementing acts establishing the template after the consultation of relevant stakeholders. This implementing act shall be adopted in accordance with the advisory procedure referred to in Article 60(2). 3.  The Commission may carry out, at its own initiative, evaluation of operational programmes. 3.  The Commission may at its own initiative, evaluate operational programmes. 3a.  The Commission shall present a mid-term assessment of the Fund to the European Parliament and to the Council by March 2018 at the latest. Amendment 51 Proposal for a regulation Article 16 At its own initiative and in close cooperation with the Member States, the Commission shall carry out, with the assistance of external experts, an ex-post evaluation, to assess the effectiveness and sustainability of results obtained as well as to measure the added value of the Fund. This ex post evaluation shall be completed by 31 December 2023. At its own initiative and in close cooperation with the Member States, the Commission shall carry out, with the assistance of external experts, an ex-post evaluation, to assess the effectiveness and efficiency of the fund and the sustainability of results obtained, as well as to measure the added value of the Fund. This ex post evaluation shall be completed by 31 December 2023. Amendment 52 Proposal for a regulation Article 17 1.  The Member States shall provide information on and promote the actions supported by the Fund. The information shall be addressed to the most deprived persons, the media and the wider public. It shall highlight the role of the Union and ensure that the contribution from the Fund is visible. 1.  The Commission and the Member States shall provide information on and promote the actions supported by the Fund. The information shall, in particular, be addressed to the most deprived persons, as well as to the wider public and the media. It shall highlight the role of the Union and ensure that the contribution from the Fund, the Member States and the partner organisations regarding the Union's social cohesion objectives is visible without stigmatising end recipients. 2.  The managing authority shall, in order to maintain transparency in the support of the Fund, maintain a list of operations supported by the Fund in CSV or XML format which shall be accessible through a website. The list shall include at least information on the beneficiary name, its address and allocated amount of Union funding as well as the type of material deprivation addressed. 2.  The managing authority shall, in order to maintain transparency in the support of the Fund, maintain a list of operations supported by the Fund in CSV or XML format which shall be accessible through a website The list shall include at least information on the beneficiary name, its address and allocated amount of Union funding as well as the type of material deprivation addressed. The list of operations shall be updated at least every twelve months. The list of operations shall be updated at least every twelve months. 3.  During the implementation of an operation, the beneficiaries and partner organisations shall inform the public about the support obtained from the Fund by placing at least one poster with information about the operation (minimum size A3), including about the financial support from Union, at a location readily visible to the public, at each place of provision of food, goods and any accompanying measure, except if this is not possible due to the circumstances of the distribution. 3.  During the implementation of an operation, the beneficiaries and partner organisations shall inform the public about the support obtained from the Fund by placing either at least one poster with information about the operation (minimum size A3), including about the financial support from Union or a European Union flag of reasonable size, at a location readily visible to the public, at each place of provision of food and/or basic material assistance and any accompanying measure without stigmatising end-recipients, except if this is not possible due to the circumstances of the distribution. Those beneficiaries and partner organisations which have websites shall also provide a short description of the operation, including its aims and results, and highlighting the financial support from the Union. Those beneficiaries and partner organisations which have websites shall also provide a short description of the operation, including its aims and results, and highlighting the financial support from the Union. 4.  All information and communication measures undertaken by the beneficiary and the partner organisations shall acknowledge support from the Fund to the operation by displaying the emblem of the Union together with a reference to the Union and the Fund. 4.  All information and communication measures undertaken by the beneficiary and the partner organisations shall acknowledge support from the Fund to the operation by displaying the emblem of the Union together with a reference to the Union and the Fund. 5.  The managing authority shall inform beneficiaries of publication of the list of operations in accordance with paragraph 2. The managing authority shall provide information and publicity kits, including templates in electronic format, to help beneficiaries and partner organisations to meet their obligations as set out in paragraph 3. 5.  The managing authority shall inform beneficiaries of publication of the list of operations in accordance with paragraph 2. The managing authority shall provide information and publicity kits, including templates in electronic format, to help beneficiaries and partner organisations to meet their obligations as set out in paragraph 3. 6.  In processing personal data pursuant to this Article, the managing authority as well as the beneficiaries and partner organisations shall comply with Directive 95/46/EC. 6.  In processing personal data pursuant to Articles 13 to 17, the managing authority as well as the beneficiaries and partner organisations shall comply with Directive 95/46/EC. Amendment 53 Proposal for a regulation Article 18 1.  The co-financing rate at the level of the operational programme shall not be higher than 85% of the public eligible expenditure. 1.  The co-financing rate at the level of the operational programme amounts to 85% of the public eligible expenditure. It may be increased in the cases described in Article 19(1). Member States shall be free to support the Fund's initiatives with additional national resources. 1a.  Beneficiaries shall not under any circumstance co-finance operations of the Fund. 2.  The Commission decision adopting an operational programme shall fix the co-financing rate applicable to the operational programme and the maximum amount of support from the Fund. 2.  The Commission decision adopting an operational programme shall fix the co-financing rate applicable to the operational programme and the maximum amount of support from the Fund. 3.  The technical assistance measures implemented at the initiative of, or on behalf of, the Commission may be financed at the rate of 100%. 3.  The technical assistance measures implemented at the initiative of, or on behalf of, the Commission may be financed at the rate of 100%. Amendment 54 Proposal for a regulation Article 19 1.  At the request of a Member State, interim payments and payments of the final balance may be increased by 10 percentage points above the co-financing rate applicable to the operational programme. The increased rate, which can not exceed 100%, shall apply to requests for payment relating to the accounting period in which the Member State has submitted its request and subsequent accounting periods during which the Member State meets one of the following conditions: 1.  At the request of a Member State, interim payments and payments of the final balance may be increased by 10 percentage points above the co-financing rate applicable to the operational programme. The increased rate, which can not exceed 100%, shall apply to requests for payment relating to the accounting period in which the Member State has submitted its request and subsequent accounting periods during which the Member State meets one of the following conditions: (a) where the Member State concerned has adopted the euro, it receives macrofinancial assistance from the Union in accordance with Council Regulation (EU) No 407/2010; (a) where the Member State concerned has adopted the euro, it receives macrofinancial assistance from the Union in accordance with Council Regulation (EU) No 407/2010; (b) where the Member State concerned has not adopted the euro, it receives medium-term financial assistance in accordance with Council Regulation (EC) No 332/2002; (b) where the Member State concerned has not adopted the euro, it receives medium-term financial assistance in accordance with Council Regulation (EC) No 332/2002; (c) financial assistance is made available to it in accordance with the Treaty establishing the European Stability Mechanism. (c) financial assistance is made available to it in accordance with the Treaty establishing the European Stability Mechanism. 2.  Notwithstanding paragraph 1, Union support through interim payments and payments of the final balance shall not be higher than the public support and the maximum amount of support from the Fund, as laid down in the Commission decision approving the operational programme. 2.  Notwithstanding paragraph 1, Union support through interim payments and payments of the final balance shall not be higher than the public and/or private support and the maximum amount of support from the Fund, as laid down in the Commission decision approving the operational programme. Amendment 55 Proposal for a regulation Article 21 1.  Operations supported by the operational programme shall be located in the Member State covered by the operational programme. 1.  Operations supported by the operational programme shall be located in the Member State covered by the operational programme. 2.  Operations may receive support from the operation programme provided that they have been selected in accordance with a fair and transparent procedure, on the basis of the criteria laid down in the operational programme. 2.  Operations may receive support from the operation programme provided that they have been selected in accordance with a fair and transparent procedure, on the basis of the criteria laid down in the operational programme. 3.  The food and the goods for homeless persons or for children may be purchased by the partner organisations themselves. 3.  The food and/or the items for basic material assistance for the personal use of the end recipients may be purchased by the partner organisations themselves. They may also be purchased by a public body and made available free of charge to the partner organisations. In that case, the food may be obtained from the use, processing or sale of the products in intervention stocks made available in accordance with Article 15 of the Regulation (EU) No [CMO], provided that this is economically the most favourable option and does not unduly delay the delivery of the food products to the partner organisations. Any amount derived from a transaction concerning those stocks shall be used for the benefit of the most deprived persons, and shall not be applied so as to diminish the obligations of the Member States, provided in Article 18 of this Regulation, to co-finance the programme. They may also be purchased by a public body and made available free of charge to the partner organisations. The partner organisations may, in addition, distribute food supplies coming from other sources including intervention stock made available under Article 15 of the Regulation (EU) No. ... [CMO]. The Commission shall apply the procedures adopted pursuant to Article 19(e) of the Regulation (EU) No [CMO] by which the products in intervention stocks may be used, processed or sold for the purposes of this Regulation, in order to ensure the most efficient possible use of the intervention stocks and proceeds thereof. The Commission shall apply the procedures adopted pursuant to Article 19(e) of the Regulation (EU) No [CMO] by which the products in intervention stocks may be used, processed or sold for the purposes of this Regulation, in order to ensure the most efficient possible use of the intervention stocks and proceeds thereof. 4.  That material assistance shall be distributed free of charge to the most deprived persons. 4.  The food and/or the items for basic material assistance shall be distributed free of charge to the most deprived persons without any exception. 5.  An operation supported by the Fund shall not receive support from another Union instrument. 5.  An operation supported by the Fund shall not receive support from another Union instrument in order to avoid double funding. However, beneficiaries shall not be prevented from applying to use other European Funds such as the ESF to undertake complementary actions aimed at addressing poverty relief and social inclusion. Amendment 56 Proposal for a regulation Article 24 1.  The costs eligible for a support from the operational programme shall be: 1.  The costs eligible for a support from the operational programme shall be: (a) the costs of purchasing food and basic consumer goods for personal use of homeless persons or of children; (a) the costs of purchasing food and items for basic material assistance for the personal use of end-recipients; (b) where a public body purchases the food or basic consumer goods for personal use of homeless persons or of children and provide them to partner organisations, the costs of transporting of food or goods to the storage depots of the partner organisations at a flat rate of 1% of the costs referred to in point (a); (b) where a public body purchases the food or basic consumer goods for the personal use of end-recipients and provides them to partner organisations, the costs of transporting food or items for basic material assistance to the storage depots of the partner organisations at a flat rate of 1% of the costs referred to in point (a); (c) the administrative, transport and storage costs borne by the partner organisations at a flat rate of 5 % of the costs referred to in point (a); (c) the administrative, transport and storage costs borne by the partner organisations at a flat rate of 5 % of the costs referred to in point (a); or  5 % of the value of the food intervention stocks transferred in accordance with Article 15 of the Regulation (EU) No. ../…. [CMO]; (ca) the administrative, transport, and storage costs borne by the partner organisations in relation to the collection of food waste. (d) the costs of social inclusion activities undertaken and declared by the partner organisations delivering directly the material assistance to the most deprived persons at a flat rate of 5% of the costs referred to in point (a); (d) the costs of social inclusion activities undertaken and declared by the partner organisations delivering directly or indirectly the basic material assistance to the end recipients at a flat rate of 5% of the costs referred to in point (a) (e) costs incurred pursuant to Article 25. (e) costs incurred pursuant to Article 25. 2.  The following costs shall not be eligible for a support from the operational programme: 2.  The following costs shall not be eligible for a support from the operational programme: (a) interest on debt; (a) interest on debt; (b) costs of second-hand goods; (b) costs of second-hand goods; (c) value added tax. However, VAT amounts shall be eligible where they are not recoverable under national VAT legislation and are paid by a beneficiary other than a non-taxable person as defined in the first subparagraph of Article 13(1) of Council Directive 2006/112/EC. (c) value added tax. However, VAT amounts shall be eligible where they are not recoverable under national VAT legislation and are paid by a beneficiary other than a non-taxable person as defined in the first subparagraph of Article 13(1) of Council Directive 2006/112/EC. Amendment 57 Proposal for a regulation Article 28 – paragraph 4 4.  The Member State shall designate a national public authority or body, functionally independent from the managing authority and the certifying authority, as audit authority. 4.  The Member State shall designate a national public authority or body, functionally independent from the managing authority and the certifying authority, as audit authority. The national audit office or the national court of auditors may be designated as the audit authority. Amendment 58 Proposal for a regulation Article 29 – paragraph 4 – point e (o) draw up the management declaration and annual summary referred to in Article 56 (5)(a) and (b) of the Financial Regulation. (e) draw up the management declaration and annual summary referred to in Article 59(5)(a) and (b) of the Financial Regulation. Amendment 59 Proposal for a regulation Article 30 – paragraph 1 – point 2 2. drawing up the annual accounts referred to in Article 56 (5) (a) of the Financial Regulation; 2. drawing up the annual accounts referred to in Article 59(5)(a) of the Financial Regulation; Amendment 60 Proposal for a regulation Article 30 – paragraph 1 – point 8 8. keeping an account of amounts recoverable and of amounts withdrawn following cancellation of all or part of the contribution for an operation. Amounts recovered shall be repaid to the general budget of the Union prior to the closure of the operational programme by deducting them from the next statement of expenditure. 8. keeping an account of amounts recoverable and of amounts withdrawn following cancellation of all or part of the contribution for an operation. Amounts recovered shall be repaid to the Fund prior to the closure of the operational programme by deducting them from the next statement of expenditure. Amendment 61 Proposal for a regulation Article 31 – paragraph 4 4.  The audit authority shall, within six months of adoption of the operational programme, prepare an audit strategy for performance of audits. The audit strategy shall set out the audit methodology, the sampling method for audits on operations and the planning of audits in relation to the current accounting year and the two subsequent accounting years. The audit strategy shall be updated annually from 2016 until and including 2022. The audit authority shall submit the audit strategy to the Commission upon request. 4.  The audit authority shall, within six months of adoption of the operational programme, prepare an audit strategy for performance of audits. The audit strategy shall set out the audit methodology, the sampling method for audits on operations and the planning of audits in relation to the current accounting year and the two subsequent accounting years. The audit strategy shall be updated annually from 2016 until and including 2022. The audit authority shall submit the audit strategy to the Commission. The Commission shall be empowered to request that the audit authority introduces changes to its audit strategy, which, in its view, are necessary for ensuring that audits are carried out in a proper manner, in accordance with the internationally accepted audit standards. In doing so the Commission shall ensure that performance audit has been sufficiently taken into account. Amendment 62 Proposal for a regulation Article 31 – paragraph 5 – subparagraph 1 – point a (r) an audit opinion in accordance with Article 56 (5) of the Financial Regulation; (a) an audit opinion in accordance with Article 59(5) of the Financial Regulation; Amendment 63 Proposal for a regulation Article 33 – paragraph 3 3.  The Commission may require a Member State to take the actions necessary to ensure the effective functioning of their management and control systems or the correctness of expenditure in accordance with this Regulation. 3.  The Commission shall require Member States to take the actions necessary to ensure the effective functioning of their management and control systems or the correctness of expenditure in accordance with this Regulation. Amendment 64 Proposal for a regulation Article 35 – paragraph 1 The budget commitments of the Union in respect of each operational programme shall be made in annual instalments during the period between 1 January 2014 and 31 December 2020. The decision of the Commission adopting the operational programme shall constitute the financing decision within the meaning of Article 81(2) of the Financial Regulation and once notified to the Member State concerned, a legal commitment within the meaning of that Regulation. The budget commitments of the Union in respect of each operational programme shall be made in annual instalments during the period between 1 January 2014 and 31 December 2020. The decision of the Commission adopting the operational programme shall constitute the financing decision within the meaning of Article 84(2) of the Financial Regulation and once notified to the Member State concerned, a legal commitment within the meaning of that Regulation. Amendment 65 Proposal for a regulation Article 45 – paragraph 1 1.  For each year from 2015 until and including 2022, by 15 February of the year following the end of the accounting period, the designated bodies shall submit to the Commission the following documents and information in accordance with Article 56 of the Financial Regulation: 1.  For each year from 2015 until and including 2022, by 15 February of the year following the end of the accounting period, the designated bodies shall submit to the Commission the following documents and information in accordance with Article 59 of the Financial Regulation: (dd) the certified annual accounts of the relevant bodies designated pursuant to Article 32 as referred to in Article 56(5) of the Financial Regulation; (a) the certified annual accounts of the relevant bodies designated pursuant to Article 32 as referred to in Article 59(5) of the Financial Regulation; (ee) the management declaration as referred to in Article 56(5) of the Financial Regulation; (b) the management declaration as referred to in Article 59(5) of the Financial Regulation; (ff) an annual summary of the final audit reports and of controls carried out, including an analysis of the nature and extent of errors and of weaknesses, as well as corrective actions taken or planned; (c) an annual summary of the final audit reports and of controls carried out, including an analysis of the nature and extent of errors and of weaknesses, as well as corrective actions taken or planned; (gg) an audit opinion by the designated independent audit body as referred in Article 56(5) of the Financial Regulation, accompanied by a control report setting out the findings of the audits carried out relating to the accounting year covered by the opinion. (d) an audit opinion by the designated independent audit body as referred in Article 59(5) of the Financial Regulation, accompanied by a control report setting out the findings of the audits carried out relating to the accounting year covered by the opinion. Amendment 66 Proposal for a regulation Article 48 – paragraph 1 1.  The managing authority shall ensure that all supporting documents on operations are made available to the Commission and the European Court of Auditors upon request for a period of three years. This three year period shall run from 31 December of the year of the decision on acceptance of accounts by the Commission pursuant to Article 47 or, at the latest, from the date of payment of the final balance. 1.  The managing authority shall ensure that all supporting documents on operations are made available to the Commission and the European Court of Auditors upon request for a period of five years. This five year period shall run from the date of payment of the final balance. This three year period shall be interrupted either in the case of legal or administrative proceedings or by a duly justified request of the Commission. This five year period shall be interrupted either in the case of legal or administrative proceedings or by a duly justified request of the Commission. Amendment 67 Proposal for a regulation Article 60 a (new) Article 60a Transitional provisions The Commission and the Member States shall ensure via transitional provisions that activities eligible for support can start as of 1 January 2014, even if operational programmes have not yet been submitted. Amendment 68 Proposal for a regulation Article 61 This Regulation shall enter into force on the twentieth day after publication following that of its publication in the Official Journal of the European Union. This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union.

(1) The matter was referred back to the committee responsible for reconsideration pursuant to Rule 57(2), second subparagraph (A7-0183/2013).

European Parliament legislative resolution of 12 June 2013 on the amended proposal for a regulation of the European Parliament and of the Council on the establishment of 'EURODAC' for the comparison of fingerprints for the effective application of Regulation (EU) No […/…] (establishing the criteria and mechanisms for determining the Member State responsible for examining an application for international protection lodged in one of the Member States by a third-country national or a stateless person) and to request comparisons with EURODAC data by Member States' law enforcement authorities and Europol for law enforcement purposes and amending Regulation (EU) No 1077/2011 establishing a European Agency for the operational management of large-scale IT systems in the area of freedom, security and justice (recast) (COM(2012)0254 – C7-0148/2012 – 2008/0242(COD))

P7_TA(2013)0258 A7-0432/2012

(Ordinary legislative procedure – recast)

The European Parliament,

–  having regard to the amended Commission proposal to Parliament and the Council (COM(2012)0254),

–  having regard to Article 294(2), Article 78(2)(e), Article 87(2)(a) and Article 88(2)(a) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7-0148/2012),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the Interinstitutional Agreement of 28 November 2001 on a more structured use of the recasting technique for legal acts(1),

–  having regard to the letter of 20 September 2012 from the Committee on Legal Affairs to the Committee on Civil Liberties, Justice and Home Affairs in accordance with Rule 87(3) of its Rules of Procedure,

–  having regard to the undertaking given by the Council representative by letter of 27 March 2013 to approve Parliament’s position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

–  having regard to Rules 87 and 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Civil Liberties, Justice and Home Affairs (A7-0432/2012),

A.  whereas, according to the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission, the proposal in question does not include any substantive amendments other than those identified as such in the proposal and whereas, as regards the codification of the unchanged provisions of the earlier acts together with those amendments, the proposal contains a straightforward codification of the existing texts, without any change in their substance;

1.  Adopts its position at first reading hereinafter set out, taking into account the recommendations of the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 12 June 2013 with a view to the adoption of Regulation (EU) No …/2013 of the European Parliament and of the Council on the establishment of 'Eurodac' for the comparison of fingerprints for the effective application of Regulation (EU) No 604/2013 establishing the criteria and mechanisms for determining the Member State responsible for examining an application for international protection lodged in one of the Member States by a third-country national or a stateless person and on requests for the comparison with Eurodac data by Member States' law enforcement authorities and Europol for law enforcement purposes, and amending Regulation (EU) No 1077/2011 establishing a European Agency for the operational management of large-scale IT systems in the area of freedom, security and justice

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Regulation (EU) No 603/2013.)

(1) OJ C 77, 28.3.2002, p. 1.

European Parliament legislative resolution of 12 June 2013 on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EC) No 562/2006 in order to provide for common rules on the temporary reintroduction of border control at internal borders in exceptional circumstances (COM(2011)0560 – C7-0248/2011 – 2011/0242(COD))

P7_TA(2013)0259 A7-0200/2012

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2011)0560),

–  having regard to Article 294(2) and Article 77(1) and (2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7–0248/2011),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the reasoned opinions submitted, within the framework of Protocol No 2 on the application of the principles of subsidiarity and proportionality, by the French National Assembly, the Netherlands Senate, the Netherlands House of Representatives, the Portuguese Parliament, the Romanian Senate, the Slovak Parliament, and the Swedish Parliament, asserting that the draft legislative act does not comply with the principle of subsidiarity,

–  having regard to the undertaking given by the Council representative by letter of 30 May 2013 to approve Parliament´s position, in accordance with Article 294 (4) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Civil Liberties, Justice and Home Affairs (A7-0200/2012),

1.  Adopts its position at first reading hereinafter set out;

2.  Approves the joint statement by Parliament, the Council and the Commission, annexed to this resolution;

3.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

4.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

European Parliament legislative resolution of 12 June 2013 on the draft Council regulation on the establishment of an evaluation mechanism to verify the application of the Schengen acquis (10273/2013 – C7-0160/2013 – 2010/0312(NLE))

P7_TA(2013)0260 A7-0215/2013

(Special legislative procedure – consultation)

The European Parliament,

–  having regard to the Council draft (10273/2013),

–  having regard to Article 70 of the Treaty on the Functioning of the European Union,

–  having regard to the request for an opinion received from the Council (C7-0160/2013),

–  having regard to the undertaking given by the Council representative by letter of 30 May 2013 to adopt the act in the form as transmitted to Parliament,

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Civil Liberties, Justice and Home Affairs (A7-0215/2013),

1.  Approves the Council draft;

2.  Approves the joint statement by Parliament, the Council and the Commission, annexed to this resolution;

3.  Instructs its President to forward its position to the Council and the Commission.

ANNEX TO THE LEGISLATIVE RESOLUTION

Joint statement by the European Parliament, the Council and the Commission

The European Parliament, the Council and the Commission welcome the adoption of the Regulation amending the Schengen Borders Code in order to provide for common rules on the temporary reintroduction of border control at internal borders in exceptional circumstances and of the Regulation on the establishment of an evaluation and monitoring mechanism to verify the application of the Schengen acquis. They believe that these new mechanisms address adequately the call of the European Council in its Conclusions of 24 June 2011 for an enhancement of the cooperation and the mutual trust between the Member States in the Schengen area and for an effective and reliable monitoring and evaluation system in order to ensure the enforcement of common rules and the strengthening, adaptation and extension of the criteria based on the EU acquis, while recalling that Europe’s external borders must be effectively and consistently managed, on the basis of common responsibility, solidarity and practical cooperation.

They state that this amendment to the Schengen Borders Code will reinforce the coordination and cooperation at the level of the Union by providing on the one hand for criteria for any reintroduction of border controls by Member States and on the other hand for an EU-based mechanism to respond to truly critical situations where the overall functioning of the area without internal border controls is put at risk.

They underline that this new evaluation system is an EU-based mechanism and that it will cover all aspects of the Schengen acquis and involve experts from the Member States, the Commission and relevant EU agencies.

They understand that any future proposal from the Commission for amending this evaluation system would be submitted to the consultation of the European Parliament in order to take into consideration its opinion, to the fullest extent possible, before the adoption of a final text.

European Parliament legislative resolution of 12 June 2013 on the proposal for a directive of the European Parliament and of the Council on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings (COM(2011)0684 – C7-0393/2011 – 2011/0308(COD))

P7_TA(2013)0261 A7-0278/2012

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2011)0684),

–  having regard to Article 294(2) and Article 50(1) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7‑0393/2011),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the opinion of the European Economic and Social Committee of 29 March 2012(1),

–  having regard to the opinion of the Committee of Regions of 19 July 2012(2),

–  having regard to the undertaking given by the Council representative by letter of 17 April 2013 to approve Parliament's position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Legal Affairs and the opinions of the Committee on Foreign Affairs, the Committee on Development and the Committee on Economic and Monetary Affairs (A7-0278/2012),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 12 June 2013 with a view to the adoption of Directive 2013/.../EU of the European Parliament and of the Council on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006/43/EC of the European Parliament and of the Council and repealing Council Directives 78/660/EEC and 83/349/EEC

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, directive 2013/34/EU.)

(1) OJ C 181, 21.6.2012, p. 84. (2) OJ C 277, 13.9.2012, p. 171.

European Parliament legislative resolution of 12 June 2013 on the proposal for a directive of the European Parliament and of the Council amending Directive 2004/109/EC on the harmonisation of transparency requirements in relation to information about issuers whose securities are admitted to trading on a regulated market and Commission Directive 2007/14/EC (COM(2011)0683 – C7-0380/2011 – 2011/0307(COD))

P7_TA(2013)0262 A7-0292/2012

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2011)0683),

–  having regard to Article 294(2) and Articles  50 and 114 of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7-0380/2011),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the opinion of the European Central Bank of 10 February 2012(1),

–  having regard to the opinion of the European Economic and Social Committee of 22 February 2012(2),

–  having regard to the undertaking given by the Council representative by letter of 29 May 2013 to approve Parliament's position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Legal Affairs and the opinions of the Committee on Economic and Monetary Affairs, the Committee on Development and the Committee on International Trade (A7-0292/2012),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 12 June 2013 with a view to the adoption of Directive 2013/.../EU of the European Parliament and of the Council amending Directive 2004/109/EC of the European Parliament and of the Council on the harmonisation of transparency requirements in relation to information about issuers whose securities are admitted to trading on a regulated market, Directive 2003/71/EC of the European Parliament and of the Council on the prospectus to be published when securities are offered to the public or admitted to trading and Commission Directive 2007/14/EC laying down detailed rules for the implementation of certain provisions of Directive 2004/109/EC

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, directive 2013/50/EU.)

(1) OJ C 93, 30.3.2012, p. 2. (2) OJ C 143, 22.5.2012, p. 78.

European Parliament legislative resolution of 12 June 2013 on the proposal for a regulation of the European Parliament and of the Council on fixing an adjustment rate to direct payments provided for in Regulation (EC) No 73/2009 in respect of calendar year 2013 (COM(2013)0159 – C7-0079/2013 – 2013/0087(COD))

P7_TA(2013)0263 A7-0186/2013

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2013)0159),

–  having regard to Article 294(2) and Article 43(2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7‑0079/2013),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the opinion of the European Economic and Social Committee of 22 May 2013(1),

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Agriculture and Rural Development and the opinion of the Committee on Budgets (A7-0186/2013),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 12 June 2013 with a view to the adoption of Regulation (EU) No .../2013 of the European Parliament and of the Council on fixing an adjustment rate to direct payments provided for in Regulation (EC) No 73/2009 in respect of calendar year 2013

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 43(2) thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee(2),

Acting in accordance with the ordinary legislative procedure(3),

Whereas:

(1)  Article 11(1) of Council Regulation (EC) No 73/2009 of 19 January 2009 establishing common rules for direct support schemes for farmers under the common agricultural policy and establishing certain support schemes for farmers(4) lays down that in financial year 2014, the amounts for the financing of the market related expenditure and direct payments of the Common Agricultural Policy (CAP) have to respect the annual ceilings set out in application of the Regulation adopted by the Council pursuant to Article 312(2) of the Treaty on the Functioning of the European Union. Article 11(1) of Regulation (EC) No 73/2009 also lays down that an adjustment of the direct payments (financial discipline) has to be determined when the forecasts for the financing of the direct payments and market related expenditures, increased by the amounts resulting from the application of Articles 10b and 136 of that Regulation but before the application of Article 10a thereof and without taking into account the margin of EUR 300 000 000, indicate that the annual ceiling will be exceeded. In accordance with Article 11(2) of Regulation (EC) No 73/2009, the European Parliament and the Council have to determine that adjustment by 30 June based on a proposal from the Commission to be presented no later than 31 March of the calendar year in respect of which the adjustment applies.

(2)  Pending the adoption of a regulation laying down the multiannual financial framework on the basis of Article 312(2) of the Treaty on the Functioning of the European Union, the level of the applicable ceiling for the year 2014 remains uncertain. Until there is clarity on the level of the applicable ceiling, it is not possible to determine whether an adjustment of the direct payments for 2013 is necessary and, if so, what the rate should be. The amount of financial discipline required should be revised by the budgetary authority in the framework of the adoption of the Budget 2014 on the basis inter alia of the Amending letter to the Draft General Budget 2014 by which the Commission provides updated estimated needs on market related expenditures and direct payments. [Am. 1]

(3)  As a general rule, farmers submitting an aid application for direct payments for one calendar year (N) are paid within a fixed payment period falling under the financial year (N+1). However, Member States have the possibility to make late payments, within certain limits, to farmers beyond this payment period without any time limits. Such late payments may fall in a later financial year. When financial discipline is applied for a given calendar year, the adjustment rate should not be applied to payments for which aid applications have been submitted in the calendar years other than that for which the financial discipline applies. Therefore, in order to ensure equal treatment of farmers, it is appropriate to provide that the adjustment rate should be applied to payments for which aid applications have been submitted in the calendar year for which the financial discipline is applied, irrespectively of when the payment is made to farmers.

(4)  The mechanism of the financial discipline, together with the modulation, was introduced with the 2003 CAP reform. Both instruments provided for a linear reduction of the amount of direct payments to be granted to farmers. Taking into account the implications of the unequal distribution of direct payments between small and large beneficiaries, modulation has been applied to amounts in excess of EUR 5 000 in order to achieve a more balanced distribution of payments. In respect of calendar year 2013, the adjustment of direct payments referred to in Article 10a of Regulation (EC) No 73/2009 continues to provide for the same exemption as the modulation. The financial discipline should be applied in a similar way to also contribute to achieving the objective of a more balanced distribution of payments; therefore, it is appropriate to provide for the application of the adjustment rate only for amounts in excess of EUR 5 000.

(5)  Article 11(3) of Regulation (EC) No 73/2009 lays down that in the framework of the application of the schedule of increments provided for in Article 121 of that Regulation to all direct payments granted in the new Member States within the meaning of Article 2(g) of that Regulation, the financial discipline should not apply to the new Member States until the beginning of the calendar year in respect of which the level of direct payments applicable in the new Member States is at least equal to the then applicable level of such payments in the other Member States. Since the direct payments are still subject to the application of the schedule of increments in calendar year 2013 in Bulgaria and Romania, the adjustment rate to be determined by the present Regulation should not apply to payments to farmers in those Member States.

(6)  Regulation (EC) No 73/2009 has been adapted by the Act concerning the conditions of accession of the Republic of Croatia. The amendments resulting from the adaptation in question will enter into force only subject to and on the date of the entry into force of the Treaty concerning the accession of the Republic of Croatia to the European Union. Since Croatia is subject to the application of the schedule of increments provided for in Article 121 of Regulation (EC) No 73/2009 in calendar year 2013 the adjustment rate to be determined by the present Regulation should not apply to payments to farmers in Croatia, subject to its accession and as of the date of its accession,

HAVE ADOPTED THIS REGULATION:

Article 1

1.  The amounts of direct payments within the meaning of Article 2(d) of Regulation (EC) No 73/2009 to be granted to a farmer in excess of EUR 5 000 for an aid application submitted in respect of calendar year 2013 shall be reduced by 0,748005 %. [Am. 2]

1a.  In the event of non-agreement on the multiannual financial framework 2014-2020, no financial discipline for the 2014 financial year shall apply, since the total amount will be calculated on the basis of the 2013 budget figures, plus 2 % inflation. [Am. 3]

2.  The reduction provided for in paragraph 1 shall not apply in Bulgaria, Romania and Croatia.

2a.  The reduction provided for in paragraph 1 shall not apply to the outermost regions which are the subject of Article 349 of the Treaty on the Functioning of the European Union or to the smaller Aegean islands as defined in Article 1(2) of Regulation (EU) No 229/2013 of the European Parliament and of the Council of 13 March 2013 laying down specific measures for agriculture in favour of the smaller Aegean islands(5). [Am. 12]

Article 1a

1.  The provisions of Articles 1 and 2 are adopted without prejudice to the subsequent adoption of Regulation (EU) No [XX/XX of ... laying down the multiannual financial framework for the years 2014-2020] and the Inter-institutional agreement between the European Parliament, the Council and the Commission on cooperation in budgetary matters and sound financial management.

2.  In the event that a correction to the adjustment rate defined in Article 1(1) is required as a consequence of the adoption of the Regulation and Inter-institutional agreement referred to in paragraph 1, the Commission shall submit a proposal to the European Parliament and to the Council concerning the fixing of a new adjustment rate.

3.  The amount of financial discipline required shall be revised by the budgetary authority in the framework of the adoption of the Budget 2014 on the basis inter alia of the Amending letter to the Draft General Budget 2014 by which the Commission provides updated estimated needs on market related expenditures and direct payments. [Am. 4]

Article 2

This Regulation shall enter into force on the seventh day following that of its publication in the Official Journal of the European Union.

Article 1(2) shall apply to Croatia subject to and on the date of the entry into force of the Treaty of Accession of Croatia.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at

For the European Parliament For the Council

The President The President

(1) Not yet published in the Official Journal. (2) Opinon of 22 May 2013 (not yet published in the Official Journal). (3) Position of the European Parliament of 12 June 2013. (4) OJ L 30, 31.1.2009, p. 16. (5) OJ L 78, 20.3.2013, p. 41.

European Parliament legislative resolution of 12 June 2013 on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EC) No 562/2006 of the European Parliament and of the Council establishing a Community Code on the rules governing the movement of persons across borders (Schengen Borders Code) and the Convention implementing the Schengen Agreement (COM(2011)0118 – C7-0070/2011 – 2011/0051(COD))

P7_TA(2013)0264 A7-0206/2013

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2011)0118),

–  having regard to Article 294(2) and Article 77(1) and (2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7–0070/2011),

–  having regard to the opinion of the Committee on Legal Affairs on the proposed legal basis,

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the undertakings given by the Council representative by letter of 19 December 2012 to approve Parliament's position, in accordance with Article 294 (4) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 55 and Rule 37 of its Rules of Procedure,

–  having regard to the report of the Committee on Civil Liberties, Justice and Home Affairs (A7-0206/2013),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 12 June 2013 with a view to the adoption of Regulation (EU) No …/2013 of the European Parliament and of the Council amending Regulation (EC) No 562/2006 of the European Parliament and of the Council establishing a Community Code on the rules governing the movement of persons across borders (Schengen Borders Code), the Convention implementing the Schengen Agreement, Council Regulations (EC) No 1683/95 and (EC) No 539/2001 and Regulations (EC) No 767/2008 and (EC) No 810/2009 of the European Parliament and of the Council

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Regulation (EU) No 610/2013.)

European Parliament legislative resolution of 12 June 2013 on the draft European Council decision establishing the composition of the European Parliament (00110/2013 – C7-0166/2013 – 2013/0900(NLE))

P7_TA(2013)0265 A7-0213/2013

(Consent)

The European Parliament,

–  having regard to the draft European Council decision establishing the composition of the European Parliament (00110/2013),

–  having regard to the request for consent submitted by the European Council in accordance with the second subparagraph of Article 14(2) of the Treaty on European Union (C7-0166/2013),

–  having regard to its resolution of 13 March 2013 on the composition of the European Parliament with a view to the 2014 elections and to its proposal for a decision of the European Council annexed thereto,(1)

–  having regard to Rules 74f and 81(1) of its Rules of Procedure,

–  having regard to the recommendation of the Committee on Constitutional Affairs (A7-0213/2013)

1.  Consents to the draft European Council decision;

2.  Instructs its President to forward its position to the European Council and to the government and parliament of the Republic of Croatia, and, for information, to the Commission and to the governments and parliaments of the Member States.

(1) Texts adopted, P7_TA(2013)0082.

European Parliament resolution of 12 June 2013 on the Commission Communication ‘Towards Social Investment for Growth and Cohesion – including implementing the European Social Fund 2014-2020’ (2013/2607(RSP))

P7_TA(2013)0266 B7-0255/2013

The European Parliament,

–  having regard to the Treaty on the Functioning of the European Union (TFEU), in particular Articles 5, 6, 9, 14, 147, 148, 149, 151 and 153 thereof, and to the Charter of Fundamental Rights of the European Union, in particular Articles 24, 25, 26, 29, 33, 34, 35 and 36,

–  having regard to the Commission communication of 20 February 2013 entitled ‘Towards Social Investment for Growth and Cohesion – including implementing the European Social Fund 2014-2020’ (COM(2013)0083),

–  having regard to the Commission recommendation of 20 February 2013 entitled ‘Investing in children: breaking the cycle of disadvantage’ (2013/112/EU)(1),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘Evidence on Demographic and Social Trends: Social Policies’ Contribution to Inclusion, Employment and the Economy’ (SWD(2013)0038),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘Follow-up on the implementation by the Member States of the 2008 European Commission recommendation on active inclusion of people excluded from the labour market - Towards a social investment approach’ (SWD(2013)0039),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘3rd Biennial Report on Social Services of General Interest’ (SWD(2013)0040),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘Long-term care in ageing societies - Challenges and policy options’ (SWD(2013)0041),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘Confronting Homelessness in the European Union’ (SWD(2013)0042),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘Investing in Health’ (SWD(2013)0043),

–  having regard to the Commission Staff Working Document of 20 February 2013 entitled ‘Social investment through the European Social Fund’ (SWD(2013)0044),

–  having regard to the Commission communication of 28 November 2012 on the Annual Growth Survey 2013 (AGS) (COM(2012)0750), and the Draft Joint Employment Report annexed thereto,

–  having regard to its resolution of 7 February 2013 on the European Semester for Economic Policy Coordination: employment and social aspects in the 2013 Annual Growth Survey(2),

–  having regard to the Commission communication of 3 March 2010 entitled ‘Europe 2020: a strategy for smart, sustainable and inclusive growth’ (COM(2010)2020),

–  having regard to the Commission communication of 18 April 2012 entitled ‘Towards a job-rich recovery’ (COM(2012)0173),

–  having regard to the question for oral answer to the Commission and the accompanying resolution of Parliament of 14 June 2012 on ‘Towards a job-rich recovery’(3),

–  having regard to the Commission communication of 23 November 2010 entitled ‘an Agenda for new skills and jobs: a European contribution towards full employment’ (COM(2010)0682),

–  having regard to its resolution of 26 October 2011 on the Agenda for New Skills and Jobs(4),

–  having regard to the Commission communication of 16 December 2010 entitled ‘The European Platform against Poverty and Social Exclusion: A European framework for social and territorial cohesion’ (COM(2010)0758), and the opinion of the European Economic and Social Committee(5) and the resolution of Parliament of 15 November 2011 on that subject(6),

–  having regard to the Commission communication of 20 December 2011 entitled ‘Youth Opportunities Initiative’ (COM(2011)0933),

–  having regard to the question for oral answer to the Commission and the accompanying resolution of Parliament of 24 May 2012 on the Youth Opportunities Initiative(7),

–  having regard to the Commission communication of 5 December 2012 entitled ‘Moving Youth into Employment’(COM(2012)0727),

–  having regard to its resolution of 7 September 2010 on developing the job potential of a new sustainable economy(8),

–  having regard to the European Pact for Gender Equality (2011-2020) adopted by the Council on 7 March 2011,

–  having regard to the Commission communication of 3 October 2008 on a Commission Recommendation on the active inclusion of people excluded from the labour market (COM(2008)0639) and to its resolution thereon of 6 May 2009(9),

–  having regard to its resolution of 14 March 2013 on the integration of migrants, its effects on the labour markets and the external dimension of social security coordination(10),

–  having regard to its resolution of 5 July 2011 on the future of social services of general interest(11),

–  having regard to the Commission communication of 2 July 2008 entitled ‘Renewed social agenda: Opportunities, access and solidarity in 21st century Europe’ (COM(2008)0412) and its resolution thereon of 6 May 2009(12),

–  having regard to the Commission communication on the long-term sustainability of public finances for a recovering economy (COM(2009)0545) and its resolution thereon of 20 May 2010(13),

–  having regard to the Commission proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealing Council Regulation (EC) No 1081/2006 (COM(2011)0607/2 - 2011/0268 (COD)) of 14 March 2012 and the draft legislative resolution thereon of 20 August 2012(14),

–  having regard to its resolution of 20 November 2012 on ‘The Social Business Initiative – Creating a favourable climate for social enterprises, key stakeholders in the social economy and innovation’(15),

–  having regard to its resolution of 6 February 2013 on ‘Corporate Social Responsibility: promoting society’s interests and a route to sustainable and inclusive recovery’(16),

–  having regard to its resolution of 20 November 2012 on ‘The Social Investment Pact - as a response to the crisis’(17),

–  having regard to the Commission communication of 16 February 2012 entitled ‘An Agenda for adequate, safe and sustainable pensions’ (COM(2012)0055),

–  having regard to ILO Convention No 117 on Social Policy (basic aims and standards),

–  having regard to ILO Recommendation No 202 on Social Protection Floors,

–  having regard to the question for oral answer to the Commission on its communication ‘Towards Social Investment for Growth and Cohesion – including implementing the European Social Fund 2014-2020’ (O-000057/2013 – B7-0207/2013),

–  having regard to Rules 115(5) and 110(2) of its Rules of Procedure,

A.  whereas in many Member States fiscal consolidation measures have led to the favouring of short-term expenditure goals at the expense of investment in sustainable growth, employment, social cohesion and competitiveness in order to achieve the Europe 2020 strategy goals;

B.  whereas the sovereign debt crisis that has hit Europe, and especially the eurozone countries, has led to a severe economic downturn with negative social consequences for most Member States through rising unemployment, poverty rates and social exclusion;

C.  whereas the crisis has brought to the fore the economic interdependence of Member States and the considerable divergence in Member States’ capacity to respond to labour market and social challenges;

D.  whereas the crisis, combined with demographic change, makes it urgent for Member States to improve the effectiveness of social spending and to design the potential reforms of their social protection system in line with this objective;

E.  whereas social partners at national level can play an important role in the financing and running of social security systems;

F.  whereas well-targeted and efficient social investments help stabilise the economy, promote employment and enhance the skills of the labour force, thus boosting the EU’s competitiveness;

G.  whereas the growing skill intensity of available jobs and the skills needed for future job- rich sectors, adapted to a sustainable economy and society, require adequate investment in education and training programmes;

H.  whereas average EU household incomes are declining, and long-term unemployment as well as poverty and social exclusion including in-work poverty and social polarisation are on the rise in many Member States;

I.  whereas 10,5 % of the working-age population are now unemployed;

J.  having regard to the statement by the European Council of 30 January 2012, which reads: ‘Growth and employment will only resume if we pursue a consistent and broad-based approach, combining a smart fiscal consolidation preserving investment in future growth, sound macroeconomic policies and an active employment strategy preserving social cohesion’;

K.  whereas the effects of economic stagnation and the persistent public debt crisis, combined with demographic change, challenge social welfare systems and decent social security arrangements, including statutory and voluntary social insurance schemes;

L.  whereas 22,8 % of young people in the EU are currently unemployed, with youth unemployment exceeding 50 % in some Member States;

M.  whereas 8,3 million Europeans under 25 are neither in employment nor in education or training (NEETs); whereas these figures continue to rise, posing the risk of a lost generation;

N.  whereas young people with a migrant background are at greater risk of exiting the education and training system without having obtained an upper secondary qualification;

O.  whereas 27 % of children are at risk of poverty or social exclusion, compared to an average of 24 % for the EU population as a whole(18);

P.  whereas 8 % of EU citizens are living in conditions of severe material deprivation and cannot afford a number of necessities that are considered essential for living a decent life in Europe;

Q.  whereas 15 % of children leave school without completing secondary education, and 10 % of EU citizens are living in jobless households;

R.  whereas the Social Protection Committee (SPC) has warned that these numbers are continuing to rise in many Member States, partly due to the impact of fiscal consolidation measures;

S.  whereas the most vulnerable groups, such as the elderly and people with disabilities, have been those most severely affected by the financial, economic and social crisis;

T.  whereas social policies are primarily the competence of the Member States and the EU’s role is to support, assist and complement their activities;

U.  whereas having a decent job is a real protection against poverty;

V.  whereas active labour market policies and activation strategies are key to helping the unemployed find a decent job;

W.  whereas suitable individual guidance for those looking for a decent job can improve their chances of success;

X.  whereas austerity measures, including cuts in public services and welfare budgets, must not be allowed to worsen the situation for the most disadvantaged or to put people unnecessarily at risk of unemployment;

Y.  whereas austerity measures must not be allowed to jeopardise the availability, accessibility and affordability of healthcare and long-term care services or to exacerbate health inequalities;

Z.  whereas the economic crisis is liable to affect women more than men; whereas there is a risk that the current recession will delay advances, or even reverse progress, with long-term consequences for social protection systems, social inclusion and demography;

AA.  whereas any stringent budgetary policy needs to be intelligent, with scope for counter-cyclical investment in major policy priorities and in line with economic performance and productivity;

AB.  whereas marginalised communities live in deplorable socio-economic conditions and are often subjected to serious discrimination and segregation in all aspects of life;

AC.  whereas the first indications that a young person is likely to drop out of school are an early warning sign of a recurring cycle of poverty;

AD.  whereas homelessness remains a problem in all EU Member States, and is one of the most extreme forms of poverty and deprivation, eroding human dignity and compromising the fundamental human right to access to housing;

AE.  whereas guaranteeing access to decent housing is an international obligation incumbent on all Member States, under which social housing is provided in parallel with market-based housing supply;

AF.  whereas homeless people require specific measures to integrate them into society and avoid social exclusion;

AG.  whereas poverty and social exclusion remain a key social determinant of health and living conditions, particularly in view of the impact of child poverty on child health and well-being;

AH.  whereas gender discrimination at work, the gender pay gap and the consequent pension disparities remain persistent in the EU;

AI.  whereas only 63 % of women in the EU work, compared with 76 % of men, partly owing to the lack of care facilities and of concrete measures to help achieve a healthy work-life balance;

AJ.  whereas the gender dimension is crucial to achieving the EU 2020 headline targets, as women form the greatest reserve of as yet unused labour power; whereas, therefore, concrete measures and specific policies for gender mainstreaming must be developed as part of the European Semester;

AK.  whereas women form the majority of heads of household, single parents and carers, and active inclusion policies require an all-encompassing set of measures to enable them to increase their participation in the labour market;

1.  Welcomes the Commission’s Social Investment Package, which establishes the necessary links between national social policies, the process of the European Semester reforms and the relevant EU Cohesion Fund allocations;

2.  Notes that the Commission communication adds to the original function of social protection of welfare systems those of social investment and stabilisation of the economy; stresses that the current economic and social crisis highlights the need for these three functions to be complementary rather than opposite;

3.  Reiterates the need to improve the coordination of social and economic policies at EU level so as to avoid discrepancies, build synergies between them and allow them to reinforce each other’s objectives;

4.  Stresses that the most efficient tool to fight unemployment in the long run is economic growth;

5.  Regrets the fact that the communication is accompanied by a recommendation in only one area while austerity measures have a major impact in several social policy fields;

6.  Is convinced that social policy reforms should be guided notably by the principles of active inclusion and activation - enabling the unemployed and the most disadvantaged to enter and participate in the labour market;

7.  Recalls that social investments generate both social and economic returns by preventing and addressing social risks; stresses that social investment focuses on public policies and human capital investment strategies which facilitate transition in changing labour markets and enable the acquisition of new skills for future job-rich sectors adapted to a sustainable economy and society;

8.  Stresses that social investment should be regarded as investment by Member States, and that this may give rise to a double dividend with long-term returns and countercyclical effects, thus lowering the risk of damage; calls on the Commission to carry out an analysis to determine which parts of public social expenditure can be considered as productive investment;

9.  Considers, in this connection, that targeted social investments should be an important part of Member States’ economic and employment policies and should be incorporated in the European Semester process, with a view to achieving the employment, social and educational objectives of the Europe 2020 strategy;

10.  Welcomes, therefore, the Commission’s call on the Member States to include social investments in their medium and long-term budgetary targets, as well as in their National Reform Programmes;

11.  Reiterates that resources for social policies are not exclusively provided by the public sector;

12.  Emphasises, therefore, that Member States should make more use of innovative approaches to financing, including participation by the private sector and financial engineering through instruments such as social impact bonds, public-private partnerships, microfinance, the social investment passport and policy-based guarantees;

13.  Urges the Member States, therefore, also to involve social enterprises, since they can complement public-sector efforts;

14.  Calls on the Commission, in this context, to consider developing a scoreboard for common social investment indicators, which would constitute a warning mechanism for monitoring progress in the Member States;

15.  Welcomes the Commission’s insistence on allocating at least 25 % of cohesion policy funding to human capital and social investment through the European Social Fund;

16.  Calls on the Member States to ensure the efficient monitoring of social policy expenditure, in order to channel resources into targeted and efficient measures and avoid unnecessary administrative burdens;

Sustainability

17.  Urges the Member States to modernise, and, where needed, structurally reform their social investment policies without delay, in order to offer the best possible services to citizens;

18.  Stresses that the Member States should make their social investment policy sustainable and future-proof by improving the efficiency and effectiveness of the system and the resources available;

19.  Emphasises that where they are willing to improve the sustainability of social investment policies, Member States should not necessarily ‘spend more’, but should ’spend more efficiently and effectively’;

20.  Calls on the Member States, therefore, to ensure that their social investment policy is target-oriented, and to undertake frequent monitoring of progress;

Combating poverty and social exclusion

21.  Reiterates its call on the Commission to address in-work poverty, poverty among people with limited or no links to the labour market, and poverty among elderly people in its next country-specific recommendations; calls on the European Council to endorse the above guidelines as a priority;

22.  Stresses the important components of the European strategy for the active inclusion of people excluded from the labour market, namely sufficient income support, inclusive labour markets, and access to quality services; regrets that national active inclusion strategies are too often reduced to employment activation, excluding de facto people who are outside the labour market and for whom returning to it is not an option, for example owing to their age or functional limitations;

23.  Reminds the Member States that active inclusion policies should:

24.  Calls on the Member States to systematically assess the impact of austerity measures on vulnerable groups in the framework of active inclusion policies;

25.  Calls on the Member States to ensure the quality of social services for those eligible for them, including their availability, accessibility and affordability, especially in the areas of health, long-term care, education, social housing, energy, water, transport and communications;

26.  Stresses the need to raise the productivity of care delivery, reducing the incidence of frailty and disability and enabling the elderly to continue to manage independent living, even in case of functional limitations;

27.  Calls on the Member States to consider the introduction of social default tariffs for vulnerable groups in fields such as energy, water and public transport;

28.  Calls for the active involvement of organisations representing marginalised communities in the drafting and implementation of integration strategies for those communities, such as the national Roma integration strategies up to 2020;

29.  Regrets the fact that in many Member States insufficient efforts are being made to integrate migrants; stresses the need to invest in appropriate programmes and services and in efficient information systems regarding access to these programmes, in order to facilitate the integration of migrants and reduce the risk of social exclusion;

30.  Calls on the Commission to draw up a concrete and detailed roadmap for the implementation of active inclusion strategies; stresses that this roadmap should specify timelines and realistic targets, on the basis of specific indicators and detailed dialogue between the interested parties, and should be closely monitored through the Open Method of Coordination, with relevant tools and procedures being available in case of non-compliance;

Combating child poverty

31.  Welcomes the Commission’s recommendation on child poverty, as announced in its communication entitled ‘Platform against Poverty and Social Exclusion: a European framework for Social and Territorial Cohesion’; further recalls the rights of the child as enshrined in the Charter of Fundamental Rights of the European Union;

32.  Welcomes the comprehensive approach promoted in the recommendation, which is based on the three pillars of access to adequate resources, access to high-quality services and participation in society and decision-making, and which recognises children as rights holders;

33.  Reiterates that all children and young people have the right to education under the UN Convention on the Rights of the Child, including children and young people who do not have a residence permit in the countries in which they reside;

34.  Stresses that the fight against child poverty must focus on prevention and early intervention rather than reaction, and should be based on the guiding principle of equal access to high-quality early childhood education and childcare services;

35.  Encourages, in this context, moves to establish more facilities for children, such as activity centres open during both termtime and holiday periods, as well as extracurricular cultural and sports activities, with meals provided;

36.  Stresses the need for adequate financial resources for these services, and in particular for policies to support poor and vulnerable families, such as families with children with disabilities, single-parent families and families with large numbers of children;

37.  Highlights the importance of the parent-child relationship and of the necessary support for parents to help them fulfil their parental responsibilities, thus preventing children being separated from their parents and placed in care as a consequence of severe poverty;

Confronting homelessness

38.  Welcomes the Commission’s Staff Working Document on ‘Confronting Homelessness’;

39.  Recalls Parliament’s request for a concrete and detailed roadmap for the implementation of the EU Homelessness Strategy;

40.  Stresses that investment in social housing, besides its crucial role in alleviating the consequences of poverty, should be considered as a social investment which leads to decent job creation and sustainable growth in the long term;

41.  Calls on the Member States to remove unnecessary administrative burdens affecting applications for social housing, and to eliminate any discrimination against minorities or vulnerable groups, in order to ensure equal access for all;

42.  Recalls that energy costs typically represent a large part of household expenses, and therefore calls on the Member States to strengthen their policies in support of household energy efficiency;

43.  Calls on the Member States to prepare specific programmes for the homeless, based on the assessment of local situations, and to place particular emphasis on housing and longer- term assistance for vulnerable persons and marginalised communities, rather than only on the provision of temporary accommodation;

Youth employment

44.  Stresses that investment in youth employment must be a key component of national social investment strategies;

45.  Urges the Member States to take strong measures to fight youth unemployment, in particular through preventive action against early dropout from school or from training or apprenticeship schemes (e.g. by implanting a dual educational system or other equally efficient types of framework), and to develop comprehensive strategies for young people who are not in employment, education or training (NEETs);

46.  Stresses that social investment in favour of NEETs would reduce the present loss to the economy caused by the disengagement of young people from the labour market, which is estimated by Eurofound to amount to EUR 153 billion, or 1,2 % of EU GDP;

47.  Regrets the failure of the current social investment policy to lay sufficient stress on the need to focus resources in priority on the long-term unemployed, young unemployed people, and older workers at risk of becoming long-term unemployed;

48.  Notes that social investment in youth may take a wide range of forms, including: developing partnerships between schools, training centres and local or regional businesses; providing targeted quality training and high-quality youth internship programmes; vocational schemes in cooperation with enterprises; senior employee sponsorship schemes aimed at the recruitment and training of young persons on the job or at securing a better transition from education to work; encouraging young people’s participation in society; and promoting regional, European and international mobility, by means of further progress towards the mutual recognition of qualifications and skills; also stresses that social investment can go hand in hand with efficient incentives, such as employment subsidies or insurance contributions for young people that will guarantee decent living and working conditions, in order to encourage public and private employers to hire young people, invest in both quality job creation for young people and continuous training and upgrading of their skills during employment, and support entrepreneurship among youth;

49.  Stresses the need to enhance the coordination of national social security systems, especially pension systems, in order to encourage mobility;

50.  Stresses the need for statistical information that is comparable between Member States on youth unemployment and labour market expenditure for young people;

Job creation and labour markets

51.  Warns that austerity measures can compromise the quality of employment, social protection and health and safety standards, and stresses that they should accordingly be accompanied by measures aimed at sustaining adequate standards;

52.  Stresses the importance of lifelong learning in strengthening people’s capacity to participate in society and the labour market, up to the legal retirement age and, if desired, even longer;

53.  Reiterates its call on the Member States to adopt measures favourable to job creation as part of their social investment programmes, such as introducing labour-related tax reforms incentivising employment, promoting and supporting self-employment and business start-ups, improving the framework for doing business and facilitating access to financing for SMEs, transforming informal and undeclared work into regular employment, creating incentives to improve the employment level of the most vulnerable social groups, reforming labour markets in order to make them more dynamic and non-discriminatory, and integrating flexicurity and modernising wage-setting systems in order to align wages with productivity developments;

54.  Stresses the need to exploit the job creation potential of innovative sectors under Horizon 2020, such as the sustainable non-carbon economy, health and social care and the digital, cultural and creative sectors, which should be supported with adequate investment in new skills and social investment instruments, making use of the concept of smart specialisation in order to align research and innovation strengths with market developments;

55.  Points out that respect for the principles of flexicurity enables both adequate social protection for workers and access to training and career development, allowing the acquisition of new skills;

Social entrepreneurship

56.  Welcomes the focus on social entrepreneurship and access to microfinance for, among others, vulnerable groups; stresses that these are crucial elements in the context of social investment, in that they not only allow the creation of new sustainable jobs and the development of the social and solidarity economy, but also enable social enterprises to generate and reinvest profits;

57.  Stresses the need to ensure active and healthy ageing in a lifetime perspective, and to emphasise prevention and rehabilitation in order to reduce the incidence, postpone the onset, and reverse and mitigate the course of frailty, functional limitations and disability;

58.  Regrets that the communication does not highlight the important role of the Grundtvig programme in preventing poverty and social exclusion and promoting social investment; calls on the Commission to raise awareness concerning lifelong learning programme opportunities, vocational education and training, and calls on the Member States to improve their quality and accessibility;

59.  Highlights the important role of EU financial instruments and of the European Social Entrepreneurship Funds in improving access to financial markets for social enterprises;

60.  Calls on the Commission to consider the introduction of a common European framework for data publishing, which would guarantee transparent information on investments in social enterprises in Member States and encourage peer pressure;

61.  Stresses that CSR should focus on both environmental and social standards with a view to securing responsible behaviour of companies;

Gender dimension

62.  Welcomes the fact that the gender dimension is included in the Commission’s Communication on Social Investment strategies;

63.  Stresses that the supply of quality childcare and other care facilities plays a crucial role, since it enables women to enter the labour market and work full-time; calls on the Member States to organise sufficient childcare and other care facilities in order to allow the participation of both parents in the labour market, all the more since the availability of childcare places is at present rather unequal between Member States;

64.  Joins the Commission in its call on the Member States to invest in services – such as affordable, full-time and high-quality childcare, all-day school places, care for the elderly and support for informal carers – that help promote gender equality, foster a better work-life balance for men and women (including paternity leave for men), and create a framework which makes it possible to enter or re-enter the labour market while ensuring equal pay for equal work for both men and women;

65.  Reiterates the importance of gender-sensitive educational systems which offer children the possibilities of discovering their talents, thus avoiding gender segregation in the labour market in the long term;

66.  Calls on the Member States to respect and foster gender equality as part of their national policies and National Reform Programmes (NRPs);

EU funds

67.  Highlights the crucial role played by cohesion policy and the Structural Funds in promoting social investments; underlines in this context the significant contribution of the European Globalisation Adjustment Fund (EGF) in preventing poverty among workers hit by the crisis, and of the European Progress Microfinance Facility in supporting entrepreneurship by means of training, retraining and workforce measures aimed at getting people back to work;

68.  Stresses that the Structural Funds should concentrate on priority areas that have a clear impact in terms of growth and jobs and are proposed as focuses for cohesion policy;

69.  Stresses that the European Social Fund should become more clearly oriented towards active measures that actually meet employers’ needs;

70.  Welcomes the Commission’s emphasis on the European Social Fund as the main instrument intended to foster social investment; strongly supports, in this respect, allocating at least 25 % of cohesion policy funding to the ESF and earmarking 20 % of ESF allocations in each Member State for promoting social inclusion and combating poverty;

71.  Calls on the Member States to ensure that the Multiannual Financial Framework for 2014-2020 contains appropriate budgetary resources to stimulate and support social investments in the EU;

72.  Calls, as a matter of urgency, for the frontloading of the EUR 6 billion allocated for the new Youth Employment Initiative in the first years of the Multiannual Financial Framework in order to address youth unemployment and implement youth guarantees; stresses that the costs of implementing youth guarantees across the eurozone are estimated at EUR 21 billion by the ILO; calls, therefore, for the allocation to be revised upwards in the context of a revision of the Multiannual Financial Framework; welcomes the extension of the eligibility group for the youth guarantee to those aged under 30;

73.  Welcomes the Commission’s intention to explore the use of new financial instruments to increase the leverage of public social investments; calls on the Commission to come forward with more detailed proposals on the matter;

Social dimension of EMU

74.  Considers that budgetary discipline in the eurozone should not be measured only by fiscal and macroeconomic benchmarks, but that this should be complemented, on an equal footing, by employment and social benchmarks as well as progress reports on structural reforms, the aim being to ensure an appropriate and efficient level of social investment and, therefore, the sustainability of a social European Union in a long-term perspective;

75.  Urges the Commission, when considering how the social dimension of a genuine economic and monetary union can be strengthened, to address Member States’ public investment needs, particularly those relating to the social and education targets under the Europe 2020 strategy;

76.  Reiterates that a Social Package for Europe should promote the following:

77.  Calls on the Member States, where unjustified blocking minorities are preventing necessary progress, to expand the principle of enhanced cooperation to social and employment policies;

o
o   o

78.  Instructs its President to forward this resolution to the Commission and the Council.

(1) OJ L 59, 2.3.2013, p. 5. (2) Texts adopted, P7_TA(2013)0053. (3) Texts adopted, P7_TA(2012)0260. (4) OJ C 131 E, 8.5.2013, p. 87. (5) OJ C 248, 25.8.2011, p. 130. (6) OJ C 153 E, 31.5.2013, p. 57. (7) Texts adopted, P7_TA(2012)0224. (8) OJ C 308 E, 20.10.2011, p. 6. (9) OJ C 212 E, 5.8.2010, p. 23. (10) Texts adopted, P7_TA(2013)0092 (11) OJ C 33 E, 5.2.2013, p. 65. (12) OJ C 212 E, 5.8.2010, p. 11. (13) OJ C 161 E, 31.5.2011, p. 112. (14) Report A7-0250/2012 of Parliament's Committee on Employment and Social Affairs. (15) Texts adopted, P7_TA(2012)0429. (16) Texts adopted, P7_TA(2013)0050. (17) Texts adopted, P7_TA(2012)0419. (18) http://europa.eu/rapid/press-release_STAT-13-28_en.htm?locale=en

European Parliament resolution of 12 June 2013 on regional policy as a part of wider State support schemes (2013/2104(INI))

P7_TA(2013)0267 A7-0204/2013

The European Parliament,

–  having regard to Articles 174 et seq. of the Treaty on the Functioning of the European Union (TFEU), which establish the objective of economic, social and territorial cohesion and define the structural financial instruments for achieving this,

–  having regard to Article 107(3) (a) and (c) TFEU, which provide for the eligibility for regional State aid to promote the economic development of certain disadvantaged areas in the European Union,

–  having regard to the Commission proposal of 6 October 2011 for a Regulation of the European Parliament and of the Council laying down common provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development and the European Maritime and Fisheries Fund covered by the Common Strategic Framework and laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion Fund and repealing Council Regulation (EC) No 1083/2006 (COM(2012)0496), as amended (COM(2013)0146),

–  having regard to its resolution of 17 January 2013 on State aid modernisation(1),

–  having regard to the Opinion of the Committee of the Regions No 2232/2012 of 1 February 2013 on the regional State aid guidelines for 2014-2020,

–  having regard to the Opinion of the European Economic and Social Committee INT/653 of 26 March 2013 on the internal market and State aid for the regions,

–  having regard to the Commission Guidelines on national regional aid for 2007-2013(2),

–  having regard to the Commission communication of 8 May 2012 entitled ‘EU State aid Modernisation (SAM)’ (COM (2012)0209),

–  having regard to the decision of the Commission, C(2012)7542, in the case SA 33243 Jornal da Madeira,

–  having regard to the Commission’s ‘Paper of the services of DG Competition containing draft guidelines on regional State aid for 2014-2020’(3),

–  having regard to point 57 of the European Council Conclusions on the Multiannual Financial Framework (7-8 February 2013 – Regional Aid)(4),

–  having regard to the communication from the Commission to the Member States of 1998 on ‘the links between regional and competition policy – reinforcing concentration and mutual consistency’ (COM(1998)0673),

–  having regard to the judgment of the Court of Justice of the European Union in Joint Cases T-443/08 and T-455/08T (Mitteldeutsche Flughafen and Flughafen Leipzig/Halle v Commission),

–  having regard to the Commission communication entitled ‘’Think Small First‘- A ’Small Business Act‘ for Europe’, (COM(2008)0394),

–  having regard to Rule 48 of its Rules of Procedure,

–  having regard to the report of the Committee on Regional Development and the opinions of the Committee on Economic and Monetary Affairs and the Committee on Employment and Social Affairs (A7-0204/2013),

A.  whereas the Commission is carrying out the process of State aid modernisation (SAM), the objectives of which are to foster growth, focus on major cases, and simplify, streamline and hasten the implementation of the relevant rules;

B.  whereas the legal basis for the new proposals, as stipulated by Article 109 TFEU, provides only for the consultation of Parliament and not for the ordinary legislative procedure; whereas Parliament has no say in the adoption of the guidelines on regional State aid for 2014-2020;

C.  whereas the ordinary legislative procedure on the Cohesion Policy legislative package on the European Structural and Investment Funds for 2014-2020 has not yet been concluded;

D.  whereas the most common forms of State support schemes take the form of grants and subsidies, tax deductions, waivers, incentive awards, soft loans, guarantees, preferential borrowing rates and equity participation granted by national, regional and local government, as well as by publicly controlled entities and through an increasing number of forms of public-private partnership;

E.  whereas there are a number of rules on State aid, as well as guidelines which apply at regional, sector-specific or horizontal levels, while the choice of which type of aid to apply is to a certain extent left to the discretion of the Member States;

F.  whereas, according to the Commission, the purpose of its Regional Aid Guidelines (RAG) is to promote a competitive and coherent single market, while at the same time ensuring that the distorting effects of aid are kept to a minimum;

G.  whereas State aid should complement and seek balance with the objectives of other EU policies, in particular Cohesion Policy;

H.  whereas the application and interpretation of State aid rules also depend heavily on the case-law of the Court of Justice;

I.  whereas the existence of a mechanism ensuring the effective implementation and application of EU State aid is one of the general ex ante conditionalities provided for in the draft set of regulations on Cohesion Policy for 2014-2020;

J.  whereas the ex post impact of State aid and State aid controls on Member States, regions and local authorities, as well as on companies, markets and the overall economy, has not been sufficiently assessed, as the Court of Auditors points out in its report entitled ‘Do the Commission’s procedures ensure effective management of State aid control?’(5);

K.  whereas anxiety over administrative burdens is the main concern affecting beneficiaries when dealing with State aid or Cohesion Policy rules;

Coordination of State aid rules and Cohesion Policy

1.  Welcomes the Commission’s draft regional aid guidelines for 2014-2020 as an integral part of the State aid modernisation (SAM) programme; reiterates its support for an approach where the compatibility rules to assess State aid are rooted on common principles and are consistent across the General Block Exemption Regulation(6) (GBER) and the different guidelines; favours the adoption of simpler, predictable and more effective State aid control and enforcement rules based on sound economic analysis;

2.  Takes the view that the implementation of both Cohesion Policy and the rules on State support schemes to reinforce local and regional investment and public-private partnerships are of key importance for promoting economic, social and territorial cohesion, regional and local development, smart, sustainable and inclusive growth, and job creation; is, however, concerned as to whether the State aid rules are consistent with the implementation of the European Structural and Investment Funds; urges the Commission, therefore, to ensure consistency of the SAM with the Cohesion Policy regulations 2014 – 2020, so that there are no major variations in treatment of areas belonging to the same category of region within the framework of Cohesion Policy;

3.  Regrets that Article 109 TFEU – the Treaty basis for the enabling regulation and, indirectly, the GBER – provides only for consultation of Parliament, not codecision; believes that this democratic deficit cannot be tolerated; proposes that this deficit be overcome as soon as possible, through interinstitutional arrangements in the field of competition policy, and corrected in the next Treaty change; points out that the Commission blueprint for a deeper Economic and Monetary Union foresees proposals for a Treaty change by 2014; deems that such a proposal should include, inter alia, a specific proposal amending Article 109 TFEU in order to adopt the regulations referred to in that Article in accordance with the ordinary legislative procedure;

4.  Encourages the Commission to continue to issue soft law guidelines in the field of competition policy, in particular on State aid, duly taking into account the existing Court of Justice case law, in order to ensure some legal certainty for the stakeholders;

5.  Underlines the fact that the primary role of State aid control is to ensure a level playing field in a competitive and coherent internal market; fully supports the SAM overall aim of tailoring State aid rules to the need to promote economic growth in the EU; notes that it is particularly relevant to promote economic growth in the most disadvantaged regions of the EU, keeping distortive effects of aid within the internal market to a minimum;

6.  Emphasises that the State aid rules, as well as the Cohesion Policy objectives, should lead to improving the situation of the regions and the most disadvantaged areas, and that the SAM process must reflect the objectives of cohesion throughout the EU, i.e. to contribute to the sustainable development of the regions and improve wellbeing; believes that the modernisation of competition rules needs to be grounded in full awareness of the impact of the rules at subnational level;

7.  Calls on the Commission to ensure that promoting smart, sustainable and inclusive growth through State aid is implemented in overall consistency with credible strategies for long-term fiscal consolidation; suggests that the Commission take better account of links between State aid policies and fiscal surveillance in drafting Country Specific Recommendations, and calls on the Member States to take these links into account when drafting their Stability and Convergence Programmes and National Reform Programmes; underlines the need for a simplification of rules and for less, but better-targeted, State aid, keeping in mind that State aid is meant to be an exception, not the rule; emphasises the need to prevent and avoid subsidy races between Member States, particularly in times of tight budgetary constraints across the EU;

8.  Believes that regional aid can only play an effective role if it is used sparingly and proportionately and is concentrated on the most disadvantaged regions of the EU, where it is needed the most; emphasises the structural contribution of aid to regional development, particularly in the current context of deep economic crisis; calls on the Commission to recognise that the crisis criterion of ‘serious disturbance in the economy of a Member State’ still applies in the real economy as well as in the financial sector, and to clarify and standardise the criteria for making this assessment;

9.  Notes that there is a margin of overlap between Cohesion Policy structural funds and State aid to companies; highlights that a significant part of the expenditure under EU Cohesion Policy in the period 2014-2020 falls under the GBER and that not only the RAG but also other horizontal or sector-specific guidelines are relevant in this context; notes that all these State aid instruments have to be coherent among themselves and with the Cohesion Policy objectives, and that all these rules should ultimately ensure effective spending of public money and promote growth;

10.  Notes the importance of the GBER in the whole SAM process as a block exemption from the notification requirement for certain categories of aid can seriously reduce the administrative burden for Member States, while allowing the Commission to concentrate its resources on the most distortive cases and better prioritise its enforcement activities; believes, therefore, that the draft new GBER and its set of common principles should have been published by the Commission before any specific guidelines;

11.  Welcomes the Commission’s aim in the SAM process to make the principles clearer, more straightforward and easier; takes the view that these principles should be both well coordinated with other EU policies and sufficiently clear, predictable and flexible to meet the needs of certain Member States and their regions which are facing a time of crisis and severe economic hardship; reiterates its recognition of the role played by State aid and public investment in addressing the economic crisis and achieving the objectives of growth and employment; believes, in this regard, that the Commission should ensure that the aid intensities laid down in the future RAG are not applied to public subsidies from the European Structural and Investment Funds; expresses its concern that the proposal as published for consultation is not sufficiently evidence-based and could go against the objective of simplification;

Territorial coverage of regional State aid 2014-2020

12.  Notes that, contrary to other types of State aid which can be granted across the EU, regional aid should by definition have a limited geographical scope and population coverage;

13.  Takes the view that the geographical zoning of the new RAG 2014-2020, however, should be preserved or should go beyond the current level of 45 %, and that the aid intensity should be maintained at the present level, given the political, economic and social situation in the Member States as well as the natural, geographic and demographic handicaps of certain regions; points out that, in the global context, the EU and EEA economies could be placed at a disadvantage relative to third countries benefiting from less stringent employment models or lower costs, thus jeopardising the attractiveness of the former; points out that in the disadvantaged areas of the EU necessary balance-sheet adjustments in the private sector, austerity-driven cuts in public finances and economic uncertainty are undermining investment and access to finance, thus increasing disparities across regions;

14.  Is of the opinion that the new rules should not have a restrictive impact on investment in and growth of regions as they move from the less developed to the more developed category; is aware that certain regions eligible for State aid under the current system might not meet the zoning criteria of the RAG in the future period and might face exclusion from the zoning scheme; believes that those regions should have a special safety regime, similar to that for transition regions under Cohesion Policy, which would provide for more consistency between the Cohesion Policy regulations 2014 - 2020 and competition rules and would allow Member States to cope with their new situation; in this regard proposes that the regions considered as ‘a’ regions in the period 2007 - 2013 should have the predefined status of ’c’ regions for the period 2014-2020; asks the Commission to ensure the possibility of increasing the maximum aid intensity in former ‘a’ regions including the statistical effect regions, and in ’c‘’’ regions, accordingly;

15.  Highlights the role of State aid in economies which have been particularly hard hit by the crisis and for which public funding under Cohesion Policy might be the only source of investment; proposes, in this connection, that consideration be given to specific regional derogations outside the regional aid maps, to allow Member States to tackle the backlash effects of the crisis; points out that, as regards economic development, the period 2008-2010 and, as regards unemployment, the period 2009 - 2011 are to be used by the Commission as a basis for State aid eligibility, despite the fact that those years cannot yet constitute a measure for the territorial impact of the disruption caused by the crisis and by natural disasters; asks the Commission to act on the basis of more recent and specific data; proposes that, in order to avoid a gap, the Commission should extend the validity of the current RAG and regional maps by at least 6 months, since the new maps will not have been approved in time; welcomes the Commission’s intention to carry out a mid-term review of the regional maps of the ‘c’ regions in 2017;

16.  Calls on the Commission to consider the economic effects of its regional aid decisions in a wider geographical context as border regions can compete with the EEA territory for economic activity location; recommends that the Commission take this point into consideration in its EU neighbourhood policy and in negotiations with candidate countries;

17.  Recalls the position of the European Council, which has instructed the Commission to ensure that the particular situation of regions bordering convergence regions is accommodated for; highlights, therefore, the importance of a balanced approach to the designation of so-called ‘a’ and ’c’ areas with a view to minimising the disparities in aid intensity between regions from different Member States sharing the same border; asks the Commission to ensure that regions ineligible for State aid that border on ‘a’‘’ areas of another country are granted a specific allocation in terms of ’c’ coverage; considers that this allocation should, by way of derogation from the overall coverage ceiling, be assigned to the Member States in addition to the allocation of predefined and non-predefined ‘c’ areas; insists that the difference in aid intensity between all categories of region and all sizes of company should be limited to a maximum of 15 %;

18.  Draws the Commission’s attention to the situation of the outermost and sparsely populated regions and of the island regions; proposes State aid as an adequate compensation for their insularity, remoteness, small size, difficult topography, climate and market-size limitations; asks for the alignment of the cohesion legislative package with the operating aid of the competition policy requirements for these territories; requests that the Commission clearly restates in the new RAG the principles of non-degressivity and non- limitation in time for operating aids in these regions; asks the Commission to clarify its definition of State aid granted to outermost regions, with specific reference to additional transport costs;

19.  Calls on the Commission to include all NUTS 2 level regions consisting solely of an island or of several islands in the list of ‘predefined ’c‘ areas’ covered by Article 107(3)(c) TFEU;

20.  Proposes that the Member States should be allowed to use a broader set of parameters for determining regional disadvantages, so that besides low population density other criteria, such as geographical disadvantages, demographic handicaps or liability to natural disasters, are taken into account when determining spatial eligibility for State aid; takes the view that State aid represents a legitimate compensation for the handicaps of insularity, remoteness and small size of a territory, and that such a condition should be considered as an independent criterion for the purposes of the territorial coverage of regional State aid for 2014–2020, in order to enable island territories to overcome their structural handicaps and ensure the conditions for economic, social and territorial growth;

Administrative constraints of the State aid rules in the context of Cohesion Policy

21.  Believes that the application of State aid rules within the Cohesion Policy programmes could be better achieved by focusing on large-scale and better-targeted aid, simplified rules including the notification rules, and extension of the horizontal categories in the Enabling Regulation(7) and the scope of the block exemption rules in the GBER; recommends increasing the de minimis ceilings; points out that raising the de minimis threshold, especially for the agricultural, fisheries and transport sectors in the outermost regions and island territories could help them equalise their competitiveness with the mainland regions;

22.  Reiterates its call on the Commission to provide promptly for clear guidance for assessing what is and is not State aid under the definition of Article 107(1) TFEU, as well as for detailed criteria for distinguishing between important and less important State aid cases as announced in the SAM roadmap;

23.  Takes the view that with regard to the ruling of the Court of Justice in the Joint Cases Mitteldeutsche Flughafen and Flughafen Leipzig/Halle v Commission, it is important to guarantee a correct application of the State aid rules within the Cohesion Policy programmes in infrastructure projects used for economic activities, so as to ensure that local and regional authorities and/or their public entities are not faced with additional administrative burdens; stresses that the implementation of these projects should not be jeopardised by the demanding financial management rules, including the decommitment rules pertaining to Cohesion Policy and the complaint practice in the State aid procedure;

24.  Reiterates, in order to ensure a simplified but consistent approach, its request for clarification regarding the assessment of the State aid granted under the Block Exemption Regulations by the Member States, since this is likely to present particular difficulties not only for SMEs but also for local and regional authorities and their entities under the Cohesion Policy programming for 2014-2020; stresses that simplification should not be sought at the expense of enforcement;

25.  Highlights that the general ex ante conditionality regarding State aid within Cohesion Policy requires that the Commission should apply a more proactive approach to State aid cases, in particular if the size and scope of aid exempt from notification increases; endorses the Court of Auditors’ view that the Commission should raise awareness concerning the obligation to notify, promote best practices, provide targeted information on the different types of notification, provide for the publication of a regularly updated section addressing frequently asked questions on its competition website, and set up a helpdesk for questions relating to the interpretation of the guidelines;

26.  Believes that the Member States and regions should coordinate their activities with the Commission better, in terms of the quality and timeliness of the information they submit and the notifications they prepare; calls on the Member States to ensure the proper application of the State aid ex ante conditionality under Cohesion Policy, as well as better compliance with State aid rules at national level;

27.  Calls on the Commission and the Member States to target their information campaigns regarding State aid rules specifically on regional and local bodies, many of which have only occasionally granted State aid and therefore have limited knowledge of the rules applying to it; calls on the Commission to take this into consideration when assessing the ex ante conditionality applying to State aid in Member States;

28.  Calls on the Commission to ensure the administrative, legal and transparency obligations of application of the SAM rules remain as clear as possible; believes that certain newly proposed rules in the draft RAG for 2014-2020 – such as counterfactual scenarios, clear evidence that the aid has an impact on the investment choice, or the condition that work on the project must not start before a decision to award aid is taken by public authorities – which the Commission wishes to apply in the coming period, both to companies applying for incentives and to the Member States and their subnational government structures – are not compatible with the principle of simplification and ‘debureaucratisation’ as promoted under Cohesion Policy and other EU and national policies; reiterates that such rules may mean that certain projects will be excluded from investment aid or will never get off the ground; considers that the requirement of a regular assessment of the desirability of State aid in the outermost regions could jeopardise the security and predictability that are needed if investors and enterprises are to seek market opportunities in the regions concerned;

Attractiveness of regions and State aid rules

29.  Stresses the importance of ensuring clear and straightforward rules for regional as well as sector-specific State aid for attracting foreign direct investment to the EU and its regions and for ensuring their global competitiveness as well as their economic, social and territorial cohesion;

30.  Welcomes the new proposed rules on transparency (paragraphs 127 and 128 of the draft guidelines); encourages the Member States to comply with these rules and to publish in a central website complete and accurate information about granted aid;

31.  Urges the Commission to make access to State aid for SMEs in those most disadvantaged regions simpler and clearer, recognising the importance of those entities for regional development; at the same time, asks the Commission to step up enforcement efforts in bigger, potentially more distortive cases;

32.  Acknowledges the problems regarding investment aid to large enterprises indicated by the Commission, given that evidence suggests a lack of incentive effect; believes that, although State aid should be primarily provided to SMEs, excluding large enterprises, a category which also includes family-owned enterprises exceeding the definition of SMEs or mid-cap companies, from State aid rules in areas covered by Article 107(3)(c) TFEU is not justified given their contribution to employment, the supply chains they create with SMEs, their common involvement in innovation, research and development, and their positive role in combating the economic crisis; takes the view that the presence of large undertakings is often key to the success of SMEs that benefit from clusters led by large companies and from their subcontracting activities; recalls that it was the Commission itself that recognised the contribution of investment by large enterprises to creating knock-on effects and to access for the EU to the world markets; stresses that a decision to exclude large enterprises in ‘’‘c’ areas could lead to job losses, reduced economic activity in the regions, reduced regional competitiveness, reduced attractiveness for foreign investment and the relocation of companies to other regions either within or outside the EU; considers, therefore, that such companies should remain eligible for State aid in ’‘’c’ areas, subject to particular scrutiny following individual notification and to additional compatibility criteria concerning incentive effect and contribution to regional development through clusters and subcontracting;

33.  Believes that the eligibility of large enterprises for State aid incentives should be determined not only on the basis of the size of the enterprise or the sector in which it operates, but also on the basis of the estimated number of jobs that could be created and preserved under the incentive, the quality and the sustainability of the jobs or project concerned and the long-term effects for the development of the region, including the social aspects; stresses that, in compliance with the principle of subsidiarity, decisions determining which particular projects have the highest potential to achieve the objectives of EU policies should be left to the Member States, the regions concerned and the local authorities;

34.  Agrees with the Commission that it should be avoided that State aid leads to relocation of an activity from one site to another within the EEA; expresses doubts, however, about the proposed draft paragraphs 24-25 and 122-124, believing them to be insufficiently complementary to Cohesion Policy and incompatible with the objective of simplification; notes, in particular, that the figure of two years is necessarily arbitrary and that this rule may be impossible to enforce, as any causal link and the existence of a plan two years ahead will be difficult to prove; is concerned that this rule may favour non-European over European companies and that it may lead to relocation outside the EEA when an activity could otherwise be attracted by regional aid to the assisted area;

35.  Notes the risks of relocation of companies granted State aid, both within and outside the EU, which are very real for the regions; notes the safeguard clause proposed by the Commission, which would oblige companies to maintain investment and jobs created in the area where the aid was awarded or, otherwise, reimburse the aid; draws the Commission’s attention to the ongoing negotiation of the Cohesion Policy regulations for 2014-2020, and requests that the respective periods under Cohesion Policy and competition policy for maintaining investment and jobs by companies granted EU funds / State aid be aligned;

36.  Expresses doubts also about the ineligibility for regional aid of ‘firms in difficulties within the meaning of the Community guidelines on State aid for rescuing and restructuring firms in difficulty’ (paragraph 11 of the draft guidelines); believes that companies undergoing restructuring should not be exposed to more stringent measures, especially when a priori negative assessment of aid requests from these companies might lead to relocation outside the EU; points out that responsible company restructuring in today’s uncertain and constantly changing business environment is the main measure to provide the long-term sustainability of investment, jobs and growth; notes that the proposed rule as drafted is not only inconsistent with helping firms affected by the economic crisis in assisted regions but also impossible to implement, given that those guidelines explicitly contain no precise definition of firms in difficulty; recalls its resolution of 15 January 2013 with recommendations to the Commission on information and consultation of workers, anticipation and management of restructuring(8) calling for a legal act on those matters, and requests that the Commission acts without delay;

37.  Is convinced that it is essential that some margin of flexibility for the revision of the guidelines is kept, as mentioned in draft paragraph 177, in order to allow for any future required adjustments, since these guidelines are designed to cover a period of 7 years;

o
o   o

38.  Instructs its President to forward this resolution to the Council and the Commission.

(1) Texts adopted, P7_TA(2013)0026. (2) OJ C 54, 4.3.2006, p. 13. (3) Brussels, 2012 (no date). (4) EUCO 37/13, 8.2.2013, p. 22. (5) Court of Auditors Special Report no. 15/2011: Do the Commission’s procedures ensure effective management of State aid control? (6) Commission Regulation (EC) No 800/2008 of 6 August 2008 declaring certain categories of aid compatible with the common market in application of Articles 87 and 88 of the Treaty (General block exemption Regulation),  OJ L 214, 9.8.2008, p. 3. (7) Council Regulation (EC) No 994/98 of 7 May 1998 (OJ L 142, 14.5.1998, p. 1). (8) Texts Adopted, P7_TA(2013)0005.

European Parliament resolution of 12 June 2013 on the Annual Report on EU Competition Policy (2012/2306(INI))

P7_TA(2013)0268 A7-0143/2013

The European Parliament,

–  having regard to the Treaty on the Functioning of the European Union (TFEU), and in particular Articles 101, 102 and 107 thereof,

–  having regard to the Commission report on Competition Policy 2011 (COM(2012)0253) and the accompanying Commission staff working document (SWD(2012)0141),

–  having regard to Council Regulation (EC) No 1/2003 of 16 December 2002 on the implementation of the rules on competition laid down in Articles 81 and 82 of the Treaty(1),

–  having regard to Council Regulation (EC) No 139/2004 of 20 January 2004 on the control of concentrations between undertakings (the EC Merger Regulation)(2),

–  having regard to the Commission communication of 13 October 2008 on the application of State aid rules to measures taken in relation to financial institutions in the context of the current global financial crisis(3) (the Banking Communication),

–  having regard to the Commission communication of 5 December 2008 entitled ‘The recapitalisation of financial institutions in the current financial crisis: limitation of aid to the minimum necessary and safeguards against undue distortions of competition’(4) (the Recapitalisation Communication),

–  having regard to the Commission communication of 25 February 2009 on the treatment of impaired assets in the Community banking sector(5) (the Impaired Assets Communication),

–  having regard to the Commission communication of 23 July 2009 on the return to viability and the assessment of restructuring measures in the financial sector in the current crisis under the State aid rules(6) (the Restructuring Communication),

–  having regard to the Commission communication of 17 December 2008 on a temporary Community framework for State aid measures to support access to finance in the current financial and economic crisis(7) (the original Temporary Framework),

–  having regard to the Commission communication of 1 December 2010 on a temporary Union framework for State aid measures to support access to finance in the current financial and economic crisis(8) (the new Temporary Framework, which ended on 31 December 2010),

–  having regard to the final report of 2 October 2012 by the High-level Expert Group on reforming the structure of the EU banking sector(9),

–  having regard to the Commission communication on the application of the European Union State aid rules to compensation granted for the provision of services of general economic interest(10),

–  having regard to the Commission decision of 20 December 2011 on the application of Article 106(2) of the Treaty on the Functioning of the European Union to State aid in the form of public service compensation granted to certain undertakings entrusted with the operation of services of general economic interest(11),

–  having regard to the Commission communication entitled ‘European Union framework for State aid in the form of public service compensation (2011)’(12),

–  having regard to Commission Regulation (EU) No 360/2012 of 25 April 2012 on the application of Articles 107 and 108 of the Treaty on the Functioning of the European Union to de minimis aid granted to undertakings providing services of general economic interest(13),

–  having regard to the study of June 2011 commissioned by Parliament entitled ‘State aid – Crisis rules for the financial sector and the real economy’(14),

–  having regard to the study of June 2012 commissioned by Parliament entitled ‘Collective redress in Antitrust’(15),

–  having regard to the Commission staff working document entitled ‘Public consultation: Towards a Coherent European Approach to Collective Redress’ (SEC(2011)0173),

–  having regard to the Commission communication entitled ‘EU State Aid Modernisation (SAM)’ (COM(2012)0209),

–  having regard to the European Court of Auditors’ special report No 15/2011 entitled ‘Do the Commission procedures ensure effective management of state aid control?’,

–  having regard to the Commission guidelines on certain State aid measures in the context of the greenhouse gas emission allowance trading scheme post-2012 (hereinafter ‘the ETS Guidelines’)(16),

–  having regard to the Framework Agreement of 20 November 2010 on relations between the European Parliament and the European Commission(17) (hereinafter ‘the Framework Agreement’), and in particular paragraphs 12(18) and 16(19) thereof,

–  having regard to the Euro Area Summit Statement of 29 June 2012(20),

–  having regard to its resolutions of 22 February 2005 on ‘the Commission’s XXXIIIrd Report on Competition Policy – 2003’(21), of 4 April 2006 on the Commission Report on Competition Policy 2004(22), of 19 June 2007 on the Report on Competition Policy 2005(23), of 10 March 2009 on the Reports on competition policy 2006 and 2007(24), of 9 March 2010 on the Report on Competition Policy 2008(25), of 20 January 2011 on the Report on Competition Policy 2009(26) and of 2 February 2012 on the Annual Report on EU Competition Policy(27),

–  having regard to its resolution of 15 November 2011 on reform of the EU state aid rules on Services of General Economic Interest(28),

–  having regard to Rule 48 of its Rules of Procedure,

–  having regard to the report of the Committee on Economic and Monetary Affairs and the opinions of the Committee on Employment and Social Affairs, the Committee on the Internal Market and Consumer Protection and the Committee on Transport and Tourism (A7-0143/2013),

A.  whereas competition policy based on the principles of open markets and a level playing field in all sectors is part of the EU genetic code, as well as being a cornerstone of the European social market economy, a tool at the service of European consumers in ensuring a socially and economically healthy internal market and in combating abusive practices by economic operators, and a key factor in ensuring the proper functioning of the internal market;

B.  whereas the free movement of goods, services, persons and capital has been essential for European growth;

C.  whereas the economic, financial and sovereign debt crisis began in autumn 2008 and worsened in 2011, resulting in a recession in the EU economy;

D.  whereas the Commission responded to the crisis by, among other measures, adopting special rules on state aid, and used competition policy as a crisis management tool; whereas this was, and still is, meant to be a temporary regime;

E.  whereas competition policy is essential in order to respond to the crisis and to support the Europe 2020 strategy and the single market, as well as progress towards a banking union, genuine economic and monetary union, and deeper integration and convergence;

F.  whereas protectionism would only deepen and prolong the crisis and strict enforcement of competition rules is essential to get the European economy back on track;

G.  whereas the Annual Report on Competition Policy should serve as an instrument for furthering the Union’s overall competitiveness by expanding competition and opening up to new actors, thereby widening and deepening the internal market, and should thus not relate exclusively to the practical implementation of competition policy by the Commission;

H.  whereas competition does not operate in an equally satisfactory manner in all Member States;

I.  whereas the sectors where the level of competition is inferior are often the very same ones in which there is underperformance in terms of economic output;

General remarks

1.  Takes note of the Commission Report on Competition Policy 2011, and welcomes the fact that the new thematic structure addresses the topics raised by Parliament and allows the clear identification of priorities, objectives and action taken;

2.  Stresses that competition policy is a cornerstone of the European social market economy; underlines the importance of strengthening antitrust, state aid and merger control measures to ensure economic efficiency, a well-functioning internal market and social progress; also emphasises that better access for SMEs and the third sector and the related participation in the internal market call for an active competition policy that will remove existing barriers;

3.  Calls for consistency between EU competition policy and all other EU policies, including sectoral regulation, in order to ensure that the internal market in products and services works well for citizens, the environment and businesses;

4.  Calls on the Commission to undertake, in cooperation with national competition authorities, a thorough examination of distortions in the functioning of competition and their economic impact; asks the Commission to identify possible imbalances between Member States in this field, as well as their causes;

5.  Stresses that the implementation of competition policy in the broader sense should not aim at strengthening established companies or providers of goods and services, but should, rather, have as its overarching objective the facilitation of the entry of new actors and the emergence of new ideas and techniques, thereby maximising the benefits to Union citizens;

6.  Points out that the extension of the extraordinary state aid crisis regime was a decision imposed by circumstances, and that it has contributed to preventing further financial and economic instability, avoiding protectionism and providing a mechanism for bank restructuring and crisis resolution, all of which are particularly useful in programme countries which are facing serious problems;

7.  Is concerned, however, at the fact that, while the state aid crisis regime was intended to be temporary in nature, it seems to have become not that temporary; notes that in its third consecutive annual report Parliament has emphasised the need to discontinue these temporary measures as soon as possible; regrets, furthermore, the fact that in some cases the approach has been failing, and insists that the lessons from previous interventions must be learned and practices adopted accordingly;

8.  Maintains that banks receiving state aid must focus their business model on the viable part of their activities, improve access to credit for families and businesses, cap remuneration, and minimise the impact on unaided competitors and EU taxpayers; notes in this regard that there is a need to consider the proposals of the High-Level Expert Group on reforming the structure of the EU banking sector;

9.  Stresses that the ongoing consolidation in the banking sector has actually increased the market share of several major financial institutions, and therefore urges the Commission to maintain a close watch on the sector in order to enhance competition in European banking markets,

10.  Recalls the Euro Area Summit Statement of 29 June 2012; agrees that it is imperative to break the vicious circle prevailing between banks and sovereigns and to develop their commitments as a matter of urgency;

11.  Asks the Commission strictly to enforce antitrust and merger control rules in order to achieve better-regulated, transparent, open and fair financial markets; appreciates its investigations in the over-the-counter (OTC) derivatives market, in particular in relation to credit default swap (CDS) trade data and services, payments services and the distribution of financial information to markets;

12.  Calls on the EU competition authorities to work in cooperation with other jurisdictions and monitor the behaviour and market impact of large financial players and oligopolies such as credit rating agencies (CRAs), along with episodes of price volatility related to financial markets, and to give top priority to investigating the alleged rate-rigging at LIBOR, EURIBOR and TIBOR;

13.  Believes that the above matters should be fully investigated, also to determine whether all the EU instruments have been used to prevent such occurrences; calls on the Commission, furthermore, to investigate the impact of such distortions in price development in sectors such as mortgage credit;

Supporting sustainable growth, jobs and competitiveness

14.  Recognises that competition policy is an essential tool for further developing and preserving the single market and is a key driver of productivity, efficiency and global competitiveness, playing a major role in supporting fair and open markets, sound public finances, and the Europe 2020 objectives for smart, sustainable and inclusive growth;

15.  Emphasises that deepening the single market, the return of economic growth, the attractiveness of the European market at a global level, achieving the Digital Agenda and encouraging research and innovation all require strong competition, a healthy plurality of economic entities, and a proactive industrial policy; notes that all antitrust, state aid and merger control instruments are essential to improving market regulation, encouraging transparency and rebuilding the economy;

16.  Expects the Commission to enforce competition policy effectively and to promote environment-friendly technologies and resources; believes that the new ETS guidelines should contribute to preventing carbon leakage, preserving price signals and minimising distortions; considers that the current low ETS price does little to promote climate-friendly technologies and is delaying the transition to a low-carbon economy;

17.  Defends that public actions adopted to provide support to victims of extended fraud and illegal financial practices with the sole goal of avoiding further damages and restoring their rights should not be considered as state aid;

Services of General Economic Interest (SGEIs)

18.  Notes that European citizens want a high-quality, area-wide and affordable supply of necessary and important public services, while increasing competition and promoting a more level playing-field between providers of those services, whether they are public or private; highlights that, to that end, safeguarding competition between different providers is crucial; stresses that the recent SGEI package could lead to a simpler, clearer and more flexible framework in this regard; emphasises the Commission’s responsibility, under the TFEU competition rules, to ensure that the compensation granted to SGEIs is compatible with EU rules on state aid, in order to avoid imposing low-quality but expensive services on the public; expresses its concern with regard to exempting too many services from the scrutiny of competition authorities;

19.  Calls on the EU competition authorities to monitor the pharmaceutical, health and insurance services markets (in particular the markets in generics and innovative medicines), identifying potential misuse of patent rights and discriminatory behaviour; notes that although the organisation of the healthcare sector and social protection fall primarily within the competence of the Member States, these services should be subject to control in order to preserve public finances and uphold competition law and the rights of EU citizens;

Improving consumer welfare: sectoral developments

20.  Is concerned that since mid-2007 food prices have significantly increased, with high volatility in producer prices, recalling that consumer food prices make a major contribution to overall inflation; stresses that the new framework for collective bargaining in the value chain should be accompanied by the pro-competitive operation of producer organisations and by a platform for monitoring food prices; urges the Commission, in cooperation with national competition authorities, to thoroughly scrutinise competition in the agro-industrial sector in terms of support, transparency and consumer price evolution at all levels of the value chain; recalls that the benefits to consumers which can be achieved in the food sector can be multiplied by carrying out similar competitive reforms in all other sectors of the economy;

21.  Stresses that services of both general economic interest (SGEIs) and general social interest (SGSIs) represent a significant share of total service provision in Member States, and that this implies that noteworthy gains can be accrued by making SGEIs and SGSIs more efficient; highlighting that, in this perspective, it is essential to ensure that the rules governing SGEIs and SGSIs prioritise protecting consumers;

22.  Highlights the major role played by speculation on food markets in causing price volatility; calls on the Commission to examine this issue on the Report on Competition Policy 2012 and to take initiatives to tackle speculation on food markets;

23.  Calls on the Commission to look more closely at the beneficial role of producers’ organisations and cooperatives in increasing small farmers’ welfare and bargaining power in relation to upstream industry;

24.  Looks forward to the European Competition Network (ECN) report on this subject; takes note of the fact that cereals and dairy products are the most investigated sectors in antitrust cases, and encourages the national competition authorities (NCAs) to step up their initiatives in this field; calls on the Commission to examine the European sugar sector, in which there was particularly high price inflation in 2011 and 2012;

25.  Urges the Commission once again to pursue the full implementation of the internal energy market package; encourages it, insofar as an open and competitive single market in energy has not yet been fully achieved, to actively monitor competition in energy markets, specifically wherever privatisation of public utilities starts out from a system of monopolistic or oligopolistic markets;

26.  Calls on the Commission to carefully examine developments on the EU air cargo and express services market; notes that the US operates a form of duopoly in the express market, and has in practice foreclosed the market to European competitors over the past ten years; concludes that further mergers in the sector would leave only one major European express and logistics company to compete, and that price competition on the internal market could be significantly impacted to the disadvantage of consumers;

27.  Stresses that no level playing-field exists for European companies in the US aviation market, and that there is an obvious imbalance on the EU-US aviation market even today, since European cargo airlines are denied access to the US domestic market and struggle to compete under unfavourable conditions; emphasises that this unequal market access distorts competition and finally hurts the European logistics industry and its customers;

Promoting legitimacy and effectiveness for competition policy

28.  Supports an active role for Parliament in shaping competition policy, including co-legislative powers; considers that the Commission must be fully accountable and must follow up Parliament’s resolutions; aims to reinforce the ongoing structured dialogue;

29.  Calls on the Commission to continue acting impartially and objectively and to be open to improvements in competition procedures; defends procedural rights, including the right of undertakings to have access to the Commission’s file prior to being heard;

30.  Encourages the Commission to further promote a fair competition culture by identifying general principles and supporting companies’ actions in this area, in particular by demonstrating greater interest and a more positive attitude towards compliance, as this will have a decisive preventive effect that is in the public interest;

31.  Requests the Commission to take into consideration the use of Alternative Dispute Resolution and to present the long overdue proposal under the ordinary legislative procedure to facilitate individual and collective private actions for damage suffered by companies and consumers as a result of breaches of EU antitrust law; believes that such a proposal should promote competition while not encouraging unmeritorious litigation, cover minor and diffuse damages, and ensure full compliance with EU transparency rules, and that any exceptions in the context of the leniency procedures will be properly and specifically justified, with full coherence ensured with public enforcement;

32.  Refers again to its earlier resolutions of 2 February 2012 on the Annual Report on EU Competition Policy and the idea of a possible Commission proposal on collective redress;

33.  Takes a positive view of cooperation within the European Competition Network (ECN) and with national courts with a view to ensuring the EU-wide effectiveness and coherence of competition policies; supports the effective sharing of responsibility between the ECN members, given that some markets tend to have more national dimensions than others owing to different legal, economic and cultural conditions; invites the Commission to promote convergence and cooperation agreements with other jurisdictions, including provisions for information exchange during investigations, under appropriate conditions;

34.  Is aware of the Commission’s high and rising workload in the area of competition enforcement, and reiterates, therefore, that the Commission needs more resources, especially via the allocation of existing resources, in order to be proactive and more effective in dealing with it;

35.  Invites the Commission to foster a culture of competition both in the EU and internationally;

Fining policy

36.  Recommends that the settlement procedure and, where appropriate, dissuasive and proportionate fines should be used, while avoiding the adverse economic and social consequences of driving stressed undertakings out of the market;

37.  Notes that fines should not prevent companies from holding their executives and staff responsible internally to account; nor, where appropriate, should they prevent Member States from dealing with issues of criminal responsibility; calls on the Commission to consider and report on these aspects;

38.  Is concerned that the use of fines as the sole instrument may be too limited, not least with a view to potential job losses as a result of inability to pay, and calls for the development of a wider range of more sophisticated instruments, covering such issues as individual responsibility, transparency and accountability of firms, shorter procedures, the right to defence and due process, mechanisms to ensure the effective operation of leniency applications (in particular to overcome the interference caused by discovery processes in the US), corporate compliance programmes, and the development of European standards; favours a ‘carrot-and-stick’ approach with penalties that serve as an effective deterrent while encouraging compliance;

39.  Notes again that the method for setting fines is contained in a non-legislative instrument - the 2006 Fining Guidelines - and once again urges the Commission to incorporate a detailed basis for calculating fines, based on the principle of legality, into Regulation (EC) No 1/2003, along with new fining principles;

40.  Reiterates its call for a general review of the Commission’s fining guidelines, taking account of six years of practical experience; believes this review should examine the role of compliance programmes, specify the conditions under which parent companies exercising decisive influence over a subsidiary should be made jointly and severally liable for antitrust infringements on the part of their subsidiaries, and consider the issues of leniency, recidivism, the turnover cap, and the interaction between public and private liabilities;

41.  Reiterates that the number of requests for fine reduction on account of inability to pay has increased, particularly from ‘mono-product’ undertakings and SMEs; affirms once again that a system of delayed and/or split payments could be considered as an alternative to fine reduction in order to avoid putting undertakings out of business;

42.  Welcomes the fact that the Commission has taken account of the specific needs of ‘mono-product’ undertakings in its decision (COMP/39452 of 28/03/2012);

Sector-specific considerations

43.  Calls on the Commission and the Member States to continue to make progress towards completing the single market in transport, while ensuring open and fair competition in the transport, postal and tourism sectors, and while respecting other Union policy objectives such as properly functioning transport and mobility services, policy objectives in the areas of public services, social standards, safety and environmental protection, and the EU targets for reducing CO2 emissions and oil dependency; welcomes the announcement of a Single Market Act II, aimed at finally establishing the Single European Sky and continuing the opening-up of the rail market and the establishment of a single railway area;

44.  Believes that the Commission should further strengthen the links between competition policy and transport policy in order to improve the competitiveness of the European transport sector;

45.  Urges the Commission to be more proactive in promoting convergence of competition rules in international negotiations, so as to ensure a level playing field between the EU and third countries in the transport sector;

46.  Stresses the importance of uniformly developing a European transport area and eliminating the development gaps between Member States’ transport infrastructures and systems, in order genuinely to achieve a single European market and ensure fair competition in the field of transport;

47.  Emphasises the impact that tax differences have on competition between the various modes of transport and on intermodal transport, and calls on the Commission to provide an overview of taxes and differing VAT systems for the various transport modes;

48.  Stresses that if there is to be free and fair competition at European level, physical, technical and regulatory barriers between Member States must be removed, in particular through the development of interoperable and efficient trans-European networks;

49.  Welcomes, in principle, the Commission’s communication on passenger rights in all transport modes, but stresses that each mode of transport is inherently different and that any Commission proposal, while guaranteeing existing rights for passengers, must also ensure a proportionate and flexible approach which recognises the differences between modes;

50.  Urges the relevant authorities, in the light of the EU-US Air Transport Agreement, to intensify their cooperation in working to develop compatible regulatory approaches to airline alliance competition issues, and to actively seek ways to make the major alliances compete more vigorously within the transatlantic market;

51.  Calls on the Commission and the Member States to speed up the implementation of the Single European Sky legislation, with a view to making the pricing of services more transparent, thereby facilitating the monitoring of compliance with competition rules and maximising competitiveness and safety in the European hub, and to continue working to foster competitiveness in European airports for the benefit of both the economy and passengers;

52.  Invites the Commission to provide an evidence-backed overview of cases where air carriers are at an advantage with regard to other service providers through special conditions or, as alleged, abuse their dominant position at certain airports, in particular through the imposition of a ‘one bag’ rule and other restrictions on cabin baggage allowances;

53.  Considers that commercial activities are a major source of income for airports, and that such aggressive practices may constitute an abuse of a carrier’s dominant position;

54.  Urges the Commission to strengthen monitoring of the trading, use and allocation of slots at European airports, in order to ensure fair competition as well as protection of regional connectivity across Europe;

55.  Calls on the Commission to monitor the measures affecting low-cost air operators, in order to ensure that they are not instruments of unfair competition;

56.  Urges the Commission, when dealing with the revision of the EU aviation and airport state aid guidelines, to ensure that there is no distortion of competition and to establish a level playing field for all market participants;

57.  Points out that limited progress has been made in liberalising Europe’s rail sector, and that this state of affairs puts rail transport at a disadvantage with regard to other means of travel, especially considering the issues related to the competitiveness of the sector across Europe;

58.  Urges the Commission to complete the implementation of the Single European Railway Area by ensuring that the right conditions are in place in order to open up the sector to free and fair competition, including measures to enable efficient and innovative rail companies to operate without restrictions, a clear separation between infrastructure ownership and rail operators, strong national regulatory bodies, and the harmonisation of provisions governing staff; calls on the Commission to take account of the different operational models of national rail companies when preparing to open up domestic passenger rail markets, and to make specific proposals in order to put an end to the indirect restrictions on competition resulting from inconsistent provisions on safety, interoperability and authorisation;

59.  Calls on the Commission and the Member States to guarantee the opening-up of the rail transport sector to fair competition, as well as to ensure a better quality of services, without compromising public service provisions;

60.  Stresses that the further opening-up of the EU road haulage market can only be acceptable if a level playing-field between transport undertakings is guaranteed and the protection of social legislation and of the working conditions of mobile workers is safeguarded in all Member States;

61.  Stresses the need to avoid unfair competition within the liberalised road transport sector by guaranteeing the proper application of social, safety and environmental rules, with special attention to the opening of this market for cabotage and to dumping practices;

62.  Calls on the Commission to make specific proposals, in cooperation with the Member States, to eliminate the considerable differences which exist between Member States in terms of penalties for serious breaches of Community law in road transport, thus putting an end to those distortions of competition;

63.  Calls on the Member States to implement the third Postal Directive; encourages the Commission to examine closely and report on the social consequences of the liberalisation of the postal market and the universal service obligation in this field, including the financing of the universal service;

64.  Calls on the Commission, having regard to the Treaty of Lisbon, the new consolidated competencies and the economic potential of tourism for the EU, to facilitate proactive cooperation among tourism enterprises and to take the necessary measures to ensure the worldwide competitiveness of EU tourism excellence destinations; calls on the Commission to speed up the procedures of the legislative proposal on travel packages in order to ensure adequate competition and guarantee a clear free market in the European tourism sector;

65.  Takes the view that enforcement of the law on state aid should seek to achieve the objectives set out in the EU 2020 Strategy, in particular by enabling investment in the real economy and fostering a greater concentration of resources on research, innovation and sustainable development;

66.  Notes that the European market in electronic payments is still fragmented, both across and within national borders; encourages the necessary measures and enforcement to ensure a more open, transparent, innovative and competitive single market in payments, in such a way that it brings advantages and choice to all consumers with regard to card, internet and mobile payment options and mobile wallets, interoperability, costs and portability; asks the Commission, therefore, to assess the possible ways of bringing new entrants into the European market for card, internet and mobile payments while protecting future technological innovations in this sector; believes that the supervision of multilateral interchange fees needs to be strengthened, and welcomes the proposals set out in the Single Market Act II relating to a revision of the Payment Services Directive and a legislative initiative on multilateral bank charges;

67.  Approves the Commission’s intention to remain vigilant with regard to the transparency of financial markets, but believes that an extra effort is needed to ensure that timely, reliable and high-quality information is provided, especially for the derivatives markets;

68.  Believes that competition between companies must take place within a framework that ensures that consumer rights are effectively respected, and that a collective redress system and an alternative dispute resolution system are vital tools for this purpose;

69.  Points out that it is the Commission’s practice only to assess the misuse of a company’s market position; believes that in some markets this is not enough to prevent the risk of cartel agreements; requests the Commission to examine how to assess how to minimise the danger of cartels and maximise competition; calls on the Commission to put forward clear and transparent guidelines for competition policy which take account of these principles;

70.  Urges the Commission to pursue the full implementation of the internal energy market package, given that an open and competitive single market in the energy sector has not yet been fully achieved; encourages it to actively monitor competition in energy markets, specifically whenever privatisation of public utilities originates in monopolistic or oligopolistic markets;

71.  Notes that the lack of effective legal provisions for compensation for damage caused by breach of competition rules works to the disadvantage of consumers, and that fines for such breaches are paid solely to the benefit of the public budgets of the Member States;

72.  Calls on the Commission to ensure a fair balance of bargaining power between manufacturers and distributors, while emphasising the following:

73.  Welcomes, in this context, the efforts made by stakeholders in the food supply chain to agree on principles of good practice in B2B relations and on implementing measures in respect of free and fair competition; calls on the Commission to maintain its commitment to monitoring the implementation of these principles, as will Parliament through its yearly Retail Roundtable;

74.  Recognises that franchising is a good formula enabling independent retailers to survive in a highly competitive environment; calls on the Commission to monitor developments in relations between franchisers and franchisees, ensure a fair balance of bargaining power between them, and, if appropriate, come forward with legislative proposals;

75.  Considers that, alongside its relationship with Parliament and with the European Economic and Social Committee, the Commission should also ensure a better structuring of its cooperation with consumer organisations, and that this relationship should be considered an important aspect of the monitoring of competition rules; for this reason, the dialogue between the Commission’s DG Competition and those organisations should be encouraged and stepped up;

76.  Welcomes the state aid policy, which has helped stabilise the financial system when applied to banks; calls on the Commission to extend the assessment of the proper functioning of the single market to include state-owned long-term investment banks, including the European Investment Bank;

77.  Believes that media ownership and management should be transparent and not concentrated; calls on the Commission to assess how existing competition rules relate to the increasing concentration of commercial media in the Member States; also calls on the Commission to apply the competition rules and to intervene where there is excessive media concentration and where media pluralism is in danger; calls for rules to ensure that conflicts of interest are properly addressed and resolved;

78.  Calls on the Commission to better integrate competition policy with respect to the employment targets of the EU 2020 Strategy, allowing better support for SMEs, which are the main job creators;

79.  Calls on the Commission to make a specific reference to the impact of competition policy on employment and social affairs in future Annual Reports.

80.  Points out that competitiveness in the EU will be achieved through innovation and the contribution of highly skilled workers while not undermining the level of wages and/or pensions, by encouraging high social standards in all Member States, and by strengthening domestic demand; calls on the Member States, therefore, to make greater investment in education, vocational training and research and development;

81.  Calls on the Member States to pursue an active and integrative labour market policy in order to strengthen the competitiveness of the Union’s economies and to offer those seeking work secure and sustainable quality jobs;

82.  Welcomes the Commission’s approach to defining SGEIs by introducing measures for the integration/reintegration of workers on the labour market under the heading of services of particular interest to citizens;

83.  Calls on the Commission to give prior attention to the assessment of future developments regarding employees of companies that are undergoing restructuring and privatisation, recalling that during the privatisation process the employment component must remain a core concern for national governments as well as for the Commission;

84.  Calls on the Commission to continue monitoring the implementation of state aid rules, given that the spillover effects of the crisis are still present, and underlines the need to preserve services of general interest in the Member States;

85.  Calls on the Commission to continue reporting to Parliament, on an annual basis, on developments and effects in the application of competition policy.

o
o   o

86.  Instructs its President to forward this resolution to the Council, the Commission and the national competition authorities (NCAs).

(1) OJ L 1, 4.1.2003, p. 1. (2) OJ L 24, 29.1.2004, p. 1. (3) OJ C 270, 25.10.2008, p. 8. (4) OJ C 10, 15.1.2009, p. 2. (5) OJ C 72, 26.3.2009, p. 1. (6) OJ C 195, 19.8.2009, p. 9. (7) OJ C 16, 22.1.2009, p. 1. (8) OJ C 6, 11.1.2011, p. 5. (9) http://ec.europa.eu/internal_market/bank/docs/high-level_expert_group/report_en.pdf (10) OJ C 8, 11.1.2012, p. 4. (11) OJ L 7, 11.1.2012, p. 3. (12) OJ C 8, 11.1.2012, p. 15. (13) OJ L 114, 26.4.2012, p. 8. (14) http://www.europarl.europa.eu/activities/committees/studies/download.do?language=en&file=42288 (15) http://www.europarl.europa.eu/committees/en/studiesdownload.html?languageDocument=EN&file=74351 (16) OJ C 158, 5.6.2012, p. 4. (17) OJ L 304, 20.11.2010, p. 47. (18) ’Each Member of the Commission shall make sure that there is a regular and direct flow of information between the Member of the Commission and the chair of the relevant parliamentary committee.’ (19) ‘Within 3 months after the adoption of a parliamentary resolution, the Commission shall provide information to Parliament in writing on action taken in response to specific requests addressed to it in Parliament’s resolutions, including in cases where it has not been able to follow Parliament’s views.’ (20) http://consilium.europa.eu/uedocs/cms_data/docs/pressdata/en/ec/131359.pdf (21) OJ C 304 E, 1.12.2005, p. 114. (22) OJ C 293 E, 2.12.2006, p. 143. (23) OJ C 146 E, 12.6.2008, p. 105. (24) OJ C 87 E, 1.4.2010, p. 43. (25) OJ C 349 E, 22.12.2010, p. 16. (26) OJ C 136 E, 11.5.2012, p. 60. (27) Texts adopted, P7_TA(2012)0031. (28) Texts adopted, P7_TA(2011)0494.

European Parliament resolution of 12 June 2013 on strengthening European democracy in the future EMU (2013/2672(RSP))

P7_TA(2013)0269 B7-0271/2013

The European Parliament,

–  having regard to Rule 110(2) of its Rules of Procedure,

A.  whereas in its resolution of 23 May 2013 on ‘future legislative proposals on EMU: response to the Commission communication’(1), Parliament takes the view that formal ex ante coordination of economic policy reforms at EU level should be: (i) strengthened on the basis of the Community method, (ii) aligned with the instruments of the European Semester for economic policy coordination, and (iii) designed in conjunction with new solidarity- and incentive-based instruments;

B.  whereas mechanisms to be put in place for ex ante coordination should apply to all euro area Member States and be open to all Member States of the Union;

C.  whereas in its aforementioned resolution of 23 May 2013, Parliament takes the view that any proposed new Convergence and Competitiveness Instrument (CCI) should be adopted in accordance with the ordinary legislative procedure, be based on the Community method and provide for proper scrutiny by Parliament; whereas Parliament points out that such a mechanism should be funded by means of a new facility triggered and governed under the Community method as an integral part of the EU budget, but over and above the Multiannual Financial Framework (MFF) ceilings, so as to ensure that Parliament is fully involved; whereas it agrees with the Commission that CCIs are the first building blocks of a genuine fiscal capacity that supports solidarity and the implementation of sustainable, growth-enhancing structural reforms;

D.  whereas the Commission should put forward proposals immediately, in accordance with the ordinary legislative procedure, to transpose into secondary legislation the commitments made by the Heads of State or Government on 28 June 2012 in relation to a ‘growth and job compact’;

E.  whereas in its aforementioned resolution of 23 May 2013 Parliament stresses the need for the adoption, under the European Semester, of a convergence code based on the Europe 2020 strategy and including a social pillar;

1.  Finds the overwhelming general lack of ambition being demonstrated by the Council in its response to the crisis to be of very great concern; is worried, furthermore, about the negative influence that national electoral cycles are having on the Union’s ability to take autonomous decisions; deplores the further postponing of all decisions on the future architecture of the EMU; likewise deplores the fact that the European Council has twice delayed its anticipated decisions on the future of the EMU and that it may do so once again at the next summit;

2.  Is deeply concerned that democratic accountability in the EMU (the fourth building block) has not so far been tackled properly in the Council’s deliberations; considers this entirely deplorable;

3.  Reiterates once again that any further initiative for a deep and genuine EMU based on stability, sustainable growth, solidarity and democracy must imperatively be established in accordance with the Community method; emphasises that the European institutions are required to practise sincere mutual cooperation; reminds the European Council that it does not have any Treaty-based prerogative of legislative initiative and that it must stop instructing the Commission on the form and/or content of any further legislative initiative and bypassing the Commission’s coordinating, executive and management roles as laid down in the Treaties;

4.  Warns the European Council, in this connection, not to interfere unduly in the European Semester process, and to ensure that the agreed procedures are followed;

5.  Reiterates that it cannot accept any further intergovernmental elements in relation to the EMU and that it will take all necessary and appropriate action within its prerogatives if such warnings are not heeded; recalls that the ‘fiscal compact’ should be integrated into EU law within five years at the latest, on the basis of an assessment of the experience with its implementation, as stipulated in Article 16 of the Treaty on Stability, Coordination and Governance in the EMU;

6.  Recalls its fundamental position that the strengthened EMU should not divide the EU but, on the contrary, establish deeper integration and stronger governance, which should be open to all non-euro Member States on a voluntary basis;

7.  Reminds the Commission that it has the sole right of legislative initiative; is therefore perplexed as to why the Commission has not yet presented legislative texts based on the proposals contained in its ‘Blueprint for a deep and genuine EMU’ (COM(2012)0777) and the Commission declaration annexed to the ’Two-Pack’ regulations; believes that if the Commission does not take such an initiative as a matter of urgency, it will be neglecting its political and Treaty-based responsibilities;

8.  Calls on the Commission to bring forward, under the European Semester, a proposal to adopt a convergence code based on the Europe 2020 strategy and establishing a strong social pillar; insists that National Implementation Programmes must ensure that the convergence code is implemented by all Member States, supported by an incentive-based mechanism;

9.  Recalls that Parliament’s priority is to ensure that any new financial instrument linked to the Convergence and Competitiveness Instrument (CCI ) is an integral part of the EU budget and is fully subject to the ordinary budgetary procedure;

10.  Underlines the fact that the currency of the Union is the euro, that its parliament is the European Parliament and that the future architecture of the EMU must recognise that Parliament is the seat of accountability at Union level; demands that whenever new competences are transferred to, or created at, Union level or new Union institutions established, a corresponding degree of democratic control by, and accountability to, Parliament be ensured;

11.  Reiterates its repeated demands that the European Stability Mechanism (ESM) be integrated into the Community acquis so that it can be managed in accordance with the Community method, and that it be made accountable to Parliament; asks the Commission to put forward a proposal to that end; reminds the Eurogroup that Parliament has received written assurances that the ESM will be subject to the scrutiny of Parliament;

12.  Recalls that EU participation in the ‘troika’ system should be subject to democratic scrutiny by, and accountability to, Parliament;

13.  Is extremely worried about the delays in setting up the Banking Union and the practical modalities of direct banking recapitalisation by the ESM; is, in particular, alarmed by the ongoing fragmentation of the EU banking system; emphasises that a robust and ambitious Banking Union is a key component of a deeper and genuine EMU, and a key policy on which Parliament has been insisting for more than three years, in particular since the adoption of its positions on the European Banking Authority regulation;

14.  Insists that at the spring European Council the President of Parliament should present Parliament’s views on the annual growth survey; takes the view that an interinstitutional agreement should be negotiated in order to involve Parliament in the approval of the annual growth survey and of the economic policy and employment guidelines;

15.  Instructs its President to forward this resolution to the European Council and the Commission.

(1) Texts adopted, P7_TA(2013)0222.

European Parliament resolution of 12 June 2013 on preparations for the European Council meeting (27-28 June 2013) – European action to combat youth unemployment (2013/2673(RSP))

P7_TA(2013)0270 RC-B7-0270/2013

The European Parliament,

–  having regard to the Commission communication of 20 December 2011 entitled ‘Youth Opportunities Initiative’ (COM(2011)0933),

–  having regard to the question for oral answer to the Commission and the accompanying resolution of Parliament of 24 May 2012 on the Youth Opportunities Initiative(1),

–  having regard to the Commission communication of 5 December 2012 entitled ‘Moving Youth into Employment’ (COM(2012)0727),

–  having regard to its resolution of 16 January 2013 on a Youth Guarantee(2),

–  having regard to the conclusions from the European Council of 7-8 February 2013,

–  having regard to the Council Recommendation of 28 February 2013 on Establishing a Youth Guarantee,

–  having regard to the Commission communication of 12 March 2013 on the Youth Employment Initiative (COM(2013)0144),

–  having regard to its resolution of 14 March 2013 on the integration of migrants, its effects on the labour market and the external dimension of social security coordination(3),

–  having regard to Rule 110(2) and (4) of its Rules of Procedure,

A.  whereas in April 2013 23,5 % of young people in the EU are currently unemployed, with the rates ranging from 7,5 % in Germany and 8 % in Austria to 62,5 % in Greece and 56,4 % in Spain, indicating marked geographical differences;

B.  whereas 8,3 million Europeans under 25 are neither in employment nor in education or training (NEETs); whereas these figures continue to rise, posing the risk of a lost generation;

C.  whereas young people from particularly vulnerable backgrounds are at greater risk of exiting the education and training system without having obtained an upper secondary qualification;

D.  whereas 15 % of children leave school without completing secondary education, and 10 % of EU citizens are living in jobless households;

E.  whereas the first indications that a young person is likely to drop out of school are an early warning sign of a recurring cycle of poverty;

F.  whereas in 2011 the economic loss due to the disengagement of young people from the labour market was estimated at EUR 153 billion, corresponding to 1,2 % of EU GDP; whereas this represents a serious social and economic burden;

G.  whereas education and training policies can play a crucial role in combating the high level of youth unemployment and fundamentally support integration and participation; whereas more investment is required in vocational education and training, integration into learning structures, higher education and research; whereas up-skilling is essential to equip individuals for quality jobs in sectors of job growth such as green jobs, ICT and the care sector;

H.  whereas despite high overall levels of youth unemployment, certain sectors such as the ICT and health sectors are finding it increasingly difficult to fill vacancies with qualified personnel;

I.  whereas currently many policies affecting young people are developed without involving those concerned and other stakeholders;

J.  whereas by virtue of their emphasis on practical skills, the dual system of vocational training and the combined academic-vocational degree courses employed in some Member States have proved their worth during the crisis in particular, keeping levels of youth unemployment lower by making young people more employable;

1.  Welcomes the fact that the European Council has acknowledged the importance of youth employment to Europe’s prosperity; urges the European Council and Commission to step up their efforts to combat youth unemployment, as a part of a wider move to promote social rights and to address social imbalances within the European Union; stresses that the European Parliament will closely monitor progress and observe whether the promised measures are implemented, especially as regards the Youth Guarantee;

2.  Urges the Commission and the Member States to take a rights-based approach to youth and employment; stresses that, particularly in times of high crisis, the quality of work for young people must not be compromised, and that core labour standards, as well as other standards related to quality of work, must be a core element;

3.  Points out that the internal imbalances between Member States, especially as regards employment and social indicators pertaining to young people in particular, are widening; calls for immediate EU action to correct these imbalances in the framework of the European Semester;

4.  Calls, in this context, on the Commission to develop common social investment indicators, especially regarding youth unemployment;

5.  Insists that the solution to the urgent problem of youth unemployment lies in an improvement of the overall economic environment, such as strengthening the single market in services and the digital economy, furthering trade through free trade agreements, and promoting the interests of SMEs and microenterprises whilst upholding fundamental social rights; stresses that the most efficient tool to fight unemployment in the long run is sustainable economic growth; further believes that special measures focused on young people are important but the key remains to ensure that the EU relies on a strong, competitive and modern economy; welcomes short- and medium-term investments such as the Youth Employment Initiative, while drawing attention to the lack of any long-term structural measures and the absence of necessary reform to enable education systems in certain Member States to rise to future challenges with a view to ensuring employability;

6.  Stresses the importance of enhancing voluntary mobility among young people by removing existing barriers for cross-border apprenticeships, traineeships and internships to better match supply and demand of work-based training opportunities for young people, particularly in border regions, and by enhancing the portability of pensions and labour and social protection rights across the EU, whilst taking the risk of brain drain into consideration; also calls on the Commission and the Member States to take all necessary steps to prevent the phenomenon of brain drain through sustainable measures which ensure that a good proportion of highly-skilled people in the labour force will either remain in their own communities or return to their Member States of origin so as to allow those Member States to achieve economic recovery and viable growth;

7.  Calls on the Commission to draw up recommendations on the feasibility of defining a common level of unemployment allowance in the EU in relation with the previous wages of the unemployed person;

Youth Guarantee

8.  Welcomes the Council Recommendation of 28 February 2013 on Establishing a Youth Guarantee; calls for the swift implementation of Youth Guarantee schemes in all Member States; emphasises that the Youth Guarantee is not a job guarantee but an instrument ensuring that all unemployed EU citizens and legal residents up to the age of 25 years, and recent graduates under 30, receive a good-quality offer of employment, continued education or apprenticeship within four months of becoming unemployed or leaving formal education; stresses in particular that Youth Guarantee schemes should effectively improve the situation of young people who are not in employment, education or training (NEETs);

9.  Calls on the Commission and Member States to develop clear objectives and indicators for the Youth Guarantee Scheme, in order to be able to effectively measure and evaluate the impact of this initiative; stresses that it intends to monitor closely all Member State activities to make the Youth Guarantee a reality and invites youth organisations to keep the European Parliament updated on their analysis of Member State actions;

10.  Notes that Youth Guarantee schemes should be accompanied by a quality framework in order to ensure that training and jobs offered include appropriate pay, working conditions and health and safety standards;

EU funding

11.  Welcomes the EUR 6 billion allocated for the new Youth Employment Initiative and calls for a frontloading in the first few years of the Multiannual Financial Framework to address youth unemployment and implement youth guarantees as a matter of urgency; emphasises that the costs of implementing youth guarantees across the eurozone are estimated at EUR 21 billion by the International Labour Organisation and therefore calls for the allocation to be revised upwards as part of a revision of the Multiannual Financial Framework; welcomes the extension of the eligibility group for the Youth Guarantee under the age of 30;

12.  Welcomes the proposed successor to the Progress Microfinance Facility included in the Programme for Social Change and Innovation for the period 2014-2020 as a valuable instrument also for young people, aiming at the creation of new, sustainable, quality jobs;

13.  Emphasises that EU funding to fight youth unemployment is available before 2014 in particular by reprogramming available structural funds and making full use of the EUR 60 billion from the European Investment Bank as provided for in the Compact for Growth and Jobs; welcomes the reallocation and acceleration of EUR 16 billion of structural funds to support job opportunities for young people and to help SMEs access finance;

14.  Calls on the Commission to actively ask for support and initiatives as well as other forms of cooperation with the private sector in tackling youth unemployment; encourages the European Investment Bank to contribute to the implementation of the Youth Guarantee, for instance by linking loans to the creation of jobs and training places, or supporting the development of dual education systems; stresses, however, that EIB loans should be seen as a supplement to and not a replacement for EU funding in the form of grants;

Combating Youth unemployment at national level

15.  Stresses that investment in youth employment must be a key component of national social investment strategies;

16.  Calls for an ambitious, holistic policy approach which looks at education, training, employment and self-employment initiatives, for all young people at all the various levels, in an integrated way; points out that it is essential to target the transition between the different educational and training pathways and recognise competences based on non-formal and informal learning; stresses that income security and trust in labour market prospects are essential pre-conditions for choosing higher education and that young people with a higher risk of exclusion are overly affected by this;

17.  Is strongly concerned at the budget cuts being made by Member States in the fields of education, training and youth, and therefore emphasises the need for the educational systems of the Member States to be reformed, using national and EU resources, with a view to making youth education more cost effective and competitive;

18.  Urges the Member States to take sweeping measures to fight youth unemployment, in particular through preventive action against early dropout from school or from training or apprenticeship schemes (e.g. by introducing a dual educational system or other equally efficient types of framework), and to develop comprehensive strategies for young people who are not in employment, education or training (NEETs);

19.  Notes that social investment in youth may take a wide range of forms, including: developing partnerships between schools, training centres and local or regional businesses; providing targeted quality training and high-quality youth internship programmes; vocational schemes in cooperation with enterprises; senior employee sponsorship schemes aimed at the recruitment and training of young people on the job or at securing a better transition from education to work; encouraging young people’s participation in society; and promoting regional, European and international mobility by means of further progress towards the mutual recognition of qualifications and skills; also stresses that social investment can go hand in hand with efficient incentives, such as employment subsidies or insurance contributions for young people that will guarantee decent living and working conditions, in order to encourage public and private employers to hire young people, invest in both quality job creation for young people and continuous training and upgrading of their skills during employment, and support entrepreneurship among young people;

20.  Calls on the Member States to consider tried and tested practices, especially those of Member States with low unemployment rates, and to explore whether concepts such as dual education and training and vocational schooling, as well as Youth Guarantee schemes that have already been implemented, might be compatible with their national systems; emphasises that the dual vocational training system and twin-track studies, with their focus on practical experience, have stood the test of the economic crisis particularly well, helping to reduce youth unemployment by making people more employable, and calls, therefore, on crisis-hit Member States to consider reforming their training systems along these lines;

21.  Stresses that the crisis countries currently have extremely alarming rates of youth unemployment; therefore, calls on the Commission to assess crisis measures in terms of their impact on youth employment and calls on the Member States and the Commission to consider ending those crisis measures which have a negative impact on youth employment;

22.  Calls on the Member States to improve cooperation between businesses and the educational sector at all levels with a view to improving the way in which curricula are linked to the demands of the labour market, for example by extending Sector Skills Alliances and Knowledge Alliances; stresses that more flexible curricula are needed in order to better adapt to future labour market developments;

23.  Stresses the need for Member States to improve support for self-employment among young people while preventing insolvency and bogus self-employment;

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24.  Instructs its President to forward this resolution to the Commission, the European Council and the Council.

(1) Texts adopted, P7_TA(2012)0224. (2) Texts adopted, P7_TA(2013)0016. (3) Texts adopted, P7_TA(2013)0092.

European Parliament resolution of 12 June 2013 on the deadlock on the revision of Regulation (EC) No 1049/2001 (2013/2637(RSP))

P7_TA(2013)0271 RC-B7-0256/2013

The European Parliament,

–  having regard to Regulation (EC) No 1049/2001 of the European Parliament and of the Council of 30 May 2001 regarding public access to European Parliament, Council and Commission documents,

–  having regard to the proposal for a regulation of the European Parliament and of the Council regarding public access to European Parliament, Council and Commission documents (COM(2008)0229),

–  having regard to the proposal for a regulation of the European Parliament and of the Council amending Regulation (EC) No 1049/2001 regarding public access to European Parliament, Council and Commission documents (COM(2011)0137),

–  having regard to Article 15 of the Treaty on the Functioning of the European Union,

–  having regard to its position of 15 December 2011 on the proposal for a regulation of the European Parliament and of the Council regarding public access to European Parliament, Council and Commission documents(1),

–  having regard to its resolution of 12 December 2012 on the situation of fundamental rights in the European Union (2010-2011)(2),

–  having regard to the questions to the Council and Commission on the deadlock on the revision of Regulation (EC) No 1049/2001 on access to documents (O-00049/2013 O-00050/2013, O-00051/2013, O-00052/2013, O-00053/2013, O-00054/2013, O-00058/2013 and O-00059/2013),

–  having regard to the Commission statement of 21 May 2013 on the deadlock on the revision of Regulation (EC) No 1049/2001,

–  having regard to Rule 110(2) and (4) of its Rules of Procedure,

A.  whereas transparency is an essential tool to enable citizens to participate in the EU decision-making process as well as in securing the accountability of the European institutions to their citizens and thereby increasing their engagement and trust;

B.  whereas the entry into force of the Treaty of Lisbon further enhanced EU transparency obligations and enshrined access to documents as a fundamental right;

C.  whereas Parliament has on several occasions called for enhanced transparency in the legislative procedure, including transparency in respect of Council working groups, publication of legal opinions in legislative procedures, and greater transparency in the ‘trilogues’;

D.  whereas Parliament has also regretted the lack of transparency in EU agencies, in international negotiations and in the Commission’s dialogue with Member States, notably when fundamental rights or the interests of European citizens are at stake(3);

E.  whereas the case-law of the Court of Justice of the European Union and decisions of the European Ombudsman have substantially influenced understanding of Regulation (EC) No 1049/2001; whereas such case-law and decisions, especially as regards the use of non-recognition grounds in a legislative procedure, such as Turco and Access Info, should be reflected in the legislation;

F.  whereas Regulation (EC) No 1049/2001 is perceived by EU citizens and the EU public as a key piece of legislation which provides the tools for proper oversight of EU actions; whereas application of Regulation (EC) No 1049/2001 has still to be improved, as shown by several cases dealt with by the Ombudsman;

G.  whereas in 2008 the Commission proposed a recast of Regulation (EC) No 1049/2001, and whereas it did not withdraw this proposal following the entry into force of the Treaty of Lisbon; whereas Parliament duly informed the Commission about the inappropriateness of the use of the recast procedure;

H.  whereas in 2011 the Commission made an additional proposal which only implicitly extends the scope of Regulation (EC) No 1049/2001 to all EU institutions, offices, agencies and bodies; whereas Parliament merged the 2008 and 2011 procedures into a single procedure;

I.  whereas Parliament adopted its first-reading position on 15 December 2011, and trilogues were started with the Danish Presidency in the first half of 2012; whereas the Commission did not agree with the proposed possible compromises, which is the main reason for a standstill which has lasted more than a year;

J.  whereas the Cypriot and Irish presidencies were unable to unblock the matter in the Council and start further negotiations because of resistance from the Commission, which triggers a unanimity requirement in the Council on certain points;

K.  whereas, given the enhanced transparency obligations included in the Treaties following the entry into force of the Treaty of Lisbon, any revision of Regulation (EC) No 1049/2001 should not lower the current level of transparency;

L.  whereas a failure to agree on a new version of Regulation (EC) No 1049/2001 would send the wrong signal about the nature of the EU to its citizens, and whereas such a failure would undermine the legitimacy of EU decision-making, especially in the light of the fast-approaching key European elections;

1.  Strongly reaffirms the importance of the fundamental right of access to information and documents, of transparency and openness of institutions and of their decision-making processes, which are pillars of democracy and can bring citizens closer to the EU;

2.  Calls on all EU institutions, offices, bodies and agencies to fully implement Regulation (EC) No 1049/2001;

3.  Considers that amending Regulation (EC) No 1049/2001 should be a priority for all the EU institutions, and regrets the deadlock that has been created; asks all the EU institutions to work together to find a way out as soon as possible;

4.  Reaffirms its commitment to revising Regulation (EC) No 1049/2001, which, taken overall, should give EU citizens wider and improved access to EU documents;

5.  Calls on the Commission to engage fully, at the political and the technical level, in the amending and ‘Lisbonising’ of Regulation (EC) No 1049/2001, or to take any appropriate measures to break the deadlock;

6.  Calls on the Council immediately to restart debates on Regulation (EC) No 1049/2001, to adopt its first-reading position and to continue negotiations;

7.  Reaffirms its above mentioned first-reading position as adopted on 15 December 2011(4) as the starting position for negotiations and insists that an amended text, as an absolute minimum, and in accordance with the Treaty requirements, should: explicitly extend the scope to all EU institutions, offices and agencies; enhance legislative transparency, including access to legislative legal opinions, whereby any use of exceptions in the legislative procedure should constitute an exemption from the general rule of legislative transparency; clarify the relationship between transparency and data protection; include the Aarhus Convention; consider the current broad definition of a document as a minimum basis for further development; ensure appropriate access to documents and transparency in relation to international negotiations and agreements; provide for financial transparency of EU funds; not introduce any block exemptions;

8.  Instructs its President to forward this resolution to the Council, the Commission and the governments and parliaments of the Member States.

(1) Texts adopted, P7_TA(2011)0580. (2) Texts adopted, P7_TA(2012)0500. (3) Texts adopted, P7_TA(2012)0500, paragraph 18. (4) EP-PE_TC1-COD(2008)0090.